M/S Iris Computers Ltd. Vs Savneet Kaur — Cheque Dishonour | Punjab & Haryana HC (2025)

M/S Iris Computers Ltd. Vs Savneet Kaur — Cheque Dishonour | Punjab & Haryana HC (2025)

What the court decided

AI extract

Outcome

Delay of 289 days in filing the appeal condoned (CRM-43617-2024 allowed); leave application remanded to the learned Sessions Judge, Gurugram with direction to treat it as an appeal under Section 372 Cr.P.C., to be retained on his/her Board or assigned to another competent Court; Registry directed to transmit the order with copy of the complete paper-book and return the trial Court record; pending applications disposed of.

Issue for consideration

Whether an appeal against an order of acquittal passed in a complaint case under Section 138 of the NI Act can be entertained under the proviso to Section 372 of the Cr.P.C. at the instance of the complainant?

Court's answer

The question being no longer res integra after the authoritative Supreme Court ruling in M/s Celestium Financial v. A. Gnanasekaran (2025 INSC 804), a complainant in a prosecution under Section 138 of the NI Act qualifies as a 'victim' under Section 2(wa) Cr.P.C. and is entitled to pursue an appeal against acquittal under the proviso to Section 372 Cr.P.C., without the requirement of seeking special leave under Section 378(4) Cr.P.C.

Ratio / Principle

Adopting a pragmatic and justice-oriented approach, the Court directs that the present appeal be treated as one authoritatively instituted under the proviso to Section 372 of the Cr.P.C.

Key takeaways

The application seeking leave to appeal is remanded to the learned Sessions Judge, Gurugram with a direction to treat it as an appeal filed under Section 372 of the Cr.P.C.; the learned Sessions Judge may retain it on his/her Board or assign it to some other Court of competent jurisdiction.ratio¶27

Detailed headnote1 paragraphs

High Court of Punjab & Haryana at Chandigarh (Aaradhna Sawhney, J.), 30.10.2025, CRM-A-1434-2024 (O&M): The appellant sought leave to appeal against the judgment of acquittal dated 10.11.2023 of the learned Judicial Magistrate Ist Class, Gurugram in a case arising from a complaint dated 20.01.2016 under Section 138 of the Negotiable Instruments Act, 1881. Holding the point no longer res integra in view of the Supreme Court's authoritative ruling in M/s Celestium Financial Vs. A. Gnanasekaran, 2025 INSC 804 : 2025(3) RCR (Criminal) 208 -- that a complainant in a Section 138 NI Act prosecution qualifies as a 'victim' under Section 2(wa) Cr.P.C. and may appeal against acquittal under the proviso to Section 372 Cr.P.C. without special leave under Section 378(4) Cr.P.C. -- the Court condoned the 289-day delay in filing, directed that the appeal be treated as instituted under the proviso to Section 372 Cr.P.C., and remanded the leave application to the learned Sessions Judge, Gurugram, who may retain it on his/her Board or assign it to another competent Court. Registry directed to transmit the order with the paper-book and return the trial Court record. Disposed of accordingly.

CRM-A-1434-2024 (O&M)

1

IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH

246

CRM-A-1434-2024 (O&M) Date of decision: 30.10.2025

M/s Iris Computers Ltd. ...Appellant

Versus

Savneet Kaur

...Respondent

CORAM: HON'BLE MS. JUSTICE AARADHNA SAWHNEY

Present : Mr. Munish Gupta, Advocate for the appellant.

AARADHNA SAWHNEY, J.(ORAL)

CRM-43617-2024

Application is for condonation of delay of 289 days in filing the

appeal.

For the reasons mentioned in the application, the same stands allowed and delay of 289 days in filing the appeal is condoned .

Main Case

The applicant has filed the present application seeking grant of leave to appeal against the judgment of acquittal dated 10.11.2023 passed by the learned Judicial Magistrate Ist Class, Gurugram, in a case stemming from complaint dated 20.01.2016 filed under Section 138 of the Negotiable Instruments Act, 1881 (hereinafter ‘NI Act’)

2. The limited question arising for consideration in the present proceedings is whether an appeal against an order of acquittal passed in a complaint case under Section 138 of the NI Act can be entertained under the proviso to Section 372 of the Cr.P.C. at the instance of the complainant?

3. The issue is no longer res integra. In ‘M/s Celestium Financial Vs. A. Gnanasekaran Etc. 2025 INSC 804: 2025(3) RCR (Criminal) 208’ , the Hon'ble Supreme Court authoritatively held that a complainant in a prosecution under Section 138 of the NI Act, qualifies as a ‘victim’ under

HAMANT 2025.10.31 18:33 I attest to the accuracy and integrity of this document

CRM-A-1434-2024 (O&M)

2

Section 2(wa) of the Cr.P.C., being the person who suffers financial loss due to the dishonour of a cheque. Consequently, such a complainant is entitled to pursue an appeal against acquittal under the proviso to Section 372 of the Cr.P.C., without the requirement of seeking special leave under Section 378(4) of the Cr.P.C.

4. Adopting a pragmatic and justice oriented approach and guided by the principle that procedural rule must serve and not obstruct the course of justice, this Court deems it appropriate to direct that the present appeal be treated as one authoritatively instituted under the proviso to Section 372 of the Cr.P.C.

5. Therefore, in view of the judgment rendered by the Apex Court in Celestium Financial (supra) , the present application seeking leave to appeal is remanded back to the learned Sessions Judge, Gurugram with a direction to treat the same as appeal filed under Section 372 of the Cr.P.C. Learned Sessions Judge may retain the said appeal on his/her Board or assign it to some other Court of competent jurisdiction.

6. The Registry is directed to transmit this order along with copy of the complete paper-book and return the trial Court record, if received, to the learned Sessions Judge, concerned.

7. Disposed of accordingly.

8. Pending application, if any, also stands disposed of.

	(AARADHN JU	A SAWHNEY) DGE
30.10.2025
Hemant
	Whether speaking/reasoned : Yes	/ No
	Whether reportable : Yes	/ No

HAMANT 2025.10.31 18:33 I attest to the accuracy and integrity of this document