High Court Karnataka High Court

M/S Duo Properties Pvt Ltd vs Mr P Dayananda Pai on 30 November, 2010

Karnataka High Court
M/S Duo Properties Pvt Ltd vs Mr P Dayananda Pai on 30 November, 2010
Author: C.R.Kumaraswamy
IN THE HIGH COURT OF KARNATAKA, BANGALORE

DATED THIS THE 30TH DAY OF NOVEMBER 2010
"32.
BEFORE

THE HON'BLE MRJUSTICE C R ;<uMARASwAM\.rj"V-A.'fQf»_
CRIMINAL PETITION NO.4709/2010_i= 4' %

BETWEEN:   

1 M/S DUO PROPERTIES PVT. LTD.
A COMPANY REGISTERE UNOE
COMPANIES ACT, .»   ' . ,
HAVING ITS REGISTERED OFFI.§fE~._AT No.28',  
ULSOOR ROAD, BANGALORE 42*, ' ,  
REP. BY ITS DIRECTORS 
MR. TPHANI MAHESH _  .   A
MR. A.M.SHARATH CHA"NOR.A.'«._  1

2 SR:  PHANIjMAHr:S'I:_   .
S/O SRI -T C, AS:-'i"'JVARTF!NA*RAYAN
AGEDABOUT 45'YEARS_,_  
DERCTOR, .   . 

M/S DUO F'.RO'PERTIES (P) LTD.,
NQ .253,' ULSOOR ROA D,
E3A'NG4'-.\LO..RE 42."  _____ .. «

'<3 I  MR A,M~.. SHARATH CHANDRA
' S/'0'A_C..MUNE,VENKATE GOWOA
= AGED ABOUT: 49 YEARS,
D.IRCTD~R_ S'  '
M/S DUO PROPERTIES (P) LTD.,
 No.23, 'IULSOOR ROAD,
A SANGALORE 42.  PETITIONERS

 1(:3,x?"'.SRI;*" RAVI B. NAIK, SENIOR COUNSEL FOR M/S. A K S
 ..._/\SSOCIATES, ADVOCATES)



10

AND :

MR P. DAYANANDA PAI

S/O LATE P NARASIMHA PAI
NO.10/1, LAKSHMINARAYANA
COMPLEX, GROUND FLOOR
PALACE ROAD,

BANGALORE 52.   REs'PONiOENT  it  2

(av NUS. 5 MAHESH & COMPANY, AOVOOATEISI} 

CRLP FILED U/8.482 OF CR,F«'..C ev THE'ITAOVOCOATE:'_r3ORj';THE 
PETITIONERS PRAYING THAT THIS"-.lj+ON'BLE +::Oe_RT, 'MAY BE '

PLEASED TO QUASH THE EN.T1PE PROCEEDINGS IN
C.C.NO.2"7105/O9 PENDING ON THE _'F-.ILE~»..eOF THE, xv ACMM,
BANGALORE. ."a ~' Ea4.',

THIS CRL.P IS r:OMING~O.N}EOR_Ao:§4Issi'ONTHIS DAY, THE

COURT MADE THE l=_..O-.~..L_O~_wINi:3: Z, 

ThisvT"Crimi;n;al  fi'le'd"V:under Section 482 of
Cr.P.C. _for the petitioners praying to

quash the entire.p'I'OVeeed'I~nsgs~O"'in C.C. No. 27105/2009 pending

    Bangalore.

 _  "'vi7«hOe»?evllieard learned Counsel for the petitioners

V as wellas lea'ri-"zed Counsel for the respondent.

The primary facts of the case is as under:

O;One Mr.P Dayananda Pai has presented a complaint

Oefore the XV Addl. Chief Metropolitan Magistrate, Bangalore.

5} V /
svr

3
The accused has issued a cheque bearing No.197996 dated

26.03.2009, drawn on The Dhanaiakshmi Bank Ltd.,

M.G.Road Branch, M.G.Road, Bangaiore, for a of

Rs.2,00,00,000/- (Rupees Two Crore Only). The

was presented for encashment and the__V”‘sarn[e’~Iéwasfi

dishonoured on the ground of “insufficient:’fund«s”;i’A

legai notice was issued on 29».p_8.2oo–9;si. In spitejsr’Iie*g’aIVy

notice, the accused failed to pay theramounwt ftiheiirveby they
have alleged to have comr:n~~i.ttedi’Aba’nto’tfee’c”e_punishable under
Sections 138 and 141 of I\tegotiA.ai:§ieV>:fnst’ru’reeh_t.s Act, 1881.

4. It isgthe;;:ontienteLo~~i{ or B Naik, learned

Senior Counsel’ of the petitioners that the

order sheet has not been signed by the

_.-vlearnevd-J,/Sdid!.V Ci;§¥Vi’;«…53@hga|ore. He further submits that

“cogr;éVi’z’a.,nce_V”tai<Veii._ by the learned Magistrate is without

app|'ica'tioh.V The cheque has not been presented

' within rhonbtéhs from the date of handing over of the cheque

coympiainant. The attention of this Court was invited to

__j'$ec't'ion'A138(a) of the Negotiable Instruments Act.

;"'i 5'
eff

5. Learned Counsel for the respondent reiies on the

ruiing in the case of Surendra Singh and Others Vs Staise of

Uttar Pradesh reported in AIR 1954 sc 194,

para 14 of the said ruling reads as under:

“14. As soon as Huejudgfoenfis’denye£ed,g”hAT
that becomes the operative prontoguncernent_.of’~t,he ”
Court. The iaw then pro\tid’esVforA’the
which it is to be authenticated.1:an.d macieilcertavign. i
The ruies regarding: this not
form the essence ofaithe nwattier_:’éaihd..:vif~.__there is
irregularity ins. §arryin’g” ‘ curable.

Thus, if a 4ji;i;c;|4gi;%i»ie_nt.vhappens:_4not”‘to”be signed and

is inadvit-a_rtent_gi’3V’/V. onjrainvd executed, the

wouid be valid
because’ the can be shown to have
been vaiiclihtyv stand good despite
dej’e’ct.s .. mode of its subsequent

o A autheh.tiCia.tion.”‘”‘ iiii

._ F-4!_e%.1a”i’sb”~.,re§»iies”on another ruling in the case of Ashok

iifeshwant v’«.’B.a’dave Vs Surendra Madhavrao Nighojakar

anpnthe”r reported in (2001) 3 scc 726, in Head Notes

A.iaoi:i ‘>i.’55,”Ait is held that:

“A. Six months’ period has to be

caicuiated for purpose of proviso (a) from the

I

if

5
date mentioned on the face of cheque and not

from any earlier date when drawer actually gave

cheque to drawee — High Court rightly dismissed

appel|ant–drawer’s appeal against issue of proces.s’ri._:”r._

against him «~ Words and Phrases – “post

cheque”.

B. Post dated cheque;remainsi_ga-i”bi.|:l:

exchange till the date written o’n__theA’face’ .- ”

on that date it becomes acheque.

And it is furthe’r_he|dg..t’li’ati_f

“For prosecuting offence
under Secti.o.:3::’j.».38 oi”th’e~}i’\:egojtiable”instruments
Act it is in.e\Jita’§if5:|e that the c_hejo.ue iilslllpresented to

the of six months from the
date or} which.V.it-dis d’r–a_wn’°or within the period of
itsV_validli”t\,IV’vihit:_hever…-19 earlier. When a post

dated__l”chveque”-is,written or drawn, it is only a bill

A zof exic.ha.n”g–e and so long the same remains a bill

it of’e;<:ci–1angVe.,'.the provisions of Section 138 are not

"a_p%p|ica.b'i:e_to the said instrument. The post dated

cheqiie becomes a cheque within the meaning of

* Scectiyon 138 of the Act on the date which is
'' –..V''-w_ritten thereon and the 6 months' period has to

be reckoned for the purposes of proviso (a) to

Section 138 of the Act fromthe said date."

§:':f£__:'

6

6. The learned counsel for respondent relies on

Section 118 of the Negotiable Instruments Act — Presum,oti»ons

as to negotiable instruments sub clause (b) reads as~~unjc’.e__r:’wl’

(b) as to date ~ that every nego:ti»ab:liAe:’ _
instrument bearing a date was -made «o_r’-‘drawn’on_v’*~7’

such date.”

7. It is the contention ofu°th_e’ learned. lygeniorgcounsel
that since the ordersheet’da”t«ed notsigned, the

proceedings has to be quas_l1_eVd’.w._ A

8. Sec’tio’n__45».-5;’–_Vof t,h.e__;’€r,Pi_C§’,_’rea’ds as follows:

,—-“–4.6S’;~ViFindi;ng ‘or’–.s’ente~n.c-=5 when reversible

by reason of “erro4r,i o’rn_i:ssi_on -or irregularity.

Subj.ect._Vt’o.:the provisions hereinbefore
cgontlaiened, nofinding, sentence or order passed
5=T”fCol’urt ofvflcompetent jurisdiction shall be
‘ “altered by a Court of appeal,
“.confirma’ti_oriVor revision on account of any error,
ornissyiionvh or irregularity in the complaint,

, sggmrnons, warrant, proclamation, order,
i.jud_gment or other proceedings before or during
‘gtrial or in any_inquiry or other proceedings under
“this Code, or any error, or irregularity in any
sanction for the prosecution, unless in the opinion

. /~’

€8,-

7
of that Court, a failure of justice has in fact been

occasioned thereby.

(2) In determining whether any err0r,.g”.”*–,g

omission or irregularity in any proceeding und’er*i..”‘-..”‘v

this Code, or any error, or irregularity irt

sanction for the prosecution has occasi-o,nedV”a: .

failure of justice, the Court shah haveVregard”

the fact whether the objection°COul.C’Vand”S’h0uid ”

have been raised at anl__’e-ar|ieri”v-stage
3,r0Ce§(rj1’Et1l9g’case of M l”I53_l’f’li$vi/i! “:15 K ,4″a’1l,t)’!fa;fi§am and

Others in Crl.A.No.701/i’9A’£§8,’– Vs Padam

Sambhai/,_ Jain” inf Crl. A. No. 84 9/2002, Hari

Nara.-‘n Bihar and Others in

__.Crl.A.Ala,84.8/20U2V_,Vreported in (2002) 5 scc 570 at para

A”2__1 »re’a-d_Vs u n ~r.: __

A a grave iliegality is committed,
the s__uper’ior courts should “not interfere. They
should’ allow the Court which is seized of the
A,VVrn”a.tter to go on with it. There is always an
‘appellate Court to correct the errors. One should
keep in mind the principle behind Section 465

Cr.P.C. Any and every irregularity or infraction

cf

8

of a procedural provision cannot constitute a
ground for interference by a superior Court
unless such irregularity or infraction has caused .
irreparable prejudice to the party and requires to V
be correct at that stage tends to defeat the
of justice instead of serving those endsjfi’

should not be that a man with _enough _r’faea’nS’;V ”

able to keep the law at bay. :Ihat..vi{bu’l–2d

the failure of the very system.”

10. In the decision of Mohjamwedll flfiulla Vs
Emperor reported in AIRCJ __77, the Hon’b|e
High Court of Rangoon hel:d”‘as- if

”(A).. s_g{.1;ji365j”ahd 357 –

Omissionlffltowlgritevj:ud.gme_’nt before passing

sentence shQu’licl_CjV*._n’o.tm:lA”ivitiate trial uniess it

occasions.’ failure f’of’«j.ustice ~ Criminal P.C.,

s4..%.537; if _
it is desirable that Magistrates

.jsh’o:i:l’d.,_Ao”beyVthe express provisions of the law,
the”‘i1<)_rn'ission to write a judgment before
pio..no.unc'ing a sentence should not necessarily

.. Vvuitiate.' the trial, unless such omission has in

'v.,faf};t occasioned a failure of justice: 14 All. 242
and 27 Mad. 237, not Fo|l.; 23 Cal.502, Re|.on.

aw/I-'

9

(8) Criminal P.C., S 367 — Omission to
sign judgment is mere irreguiarity curable by
Criminal P.C., $3.537. H

Where a Magistrate prepares a judgment
but does not sign it, such omission to sign
judgment amounts to a mere irreguia–rfit’y,.,l,:
curable by 5-3.537: A.I.R. Zi925_AJ|,__ 299;”‘Réii’,;;v,””‘v a

1’!

Of}.

11. Appiying the principi*e,s”~~laidl.down,_in, tiiVe””aoove ” V

mentioned ruling, in my view, in,-case*,– if-»t_he order sheet has

not been signed, it is ‘l under the

procedural law. orgnissliofn wil~lTn.ot’ cause in failure of

justice. Fu’rthe.r,’j:,thi§?~:objecti-on ri’as”not been raised by the
accused in”the._Tria_| Cou.rt;.._,Fort_he first time, in this Court this

objection has’l’b..ee’n/Fiiise-dl.”~7i’:herefore, the contention of the

,1′”|’e«a_rneri_j’iseniior Counse-l-~~«that the order sheet has not been

the proceedings have to be quashed has

i no forchelandytilie same cannot be accepted.

12.’fi_The next contention urged by learned Senior

that cognizance taken by learned magistrate is

. application of mind and therefore it is bad in iaw.

‘of

E0

13. In this regard, the impugned order reads as

unden

“Heard the learned Counsel for the.f”~~._

complainant. Perused the original complaint an_”c’:i~v..f”-fr

documents produced alongwith the comp|ai_n–t_:é.a’n’dV.’ft, ;_.

the sworn statement of the complainant……Q:ri_t’l1–e: ._

basis of the material availablefionirec_o’rd.-3 I,:”arn._”7′

satisfied that the complainant i’has.’.Arnadle’ our a ”

primafacie case for an offen_Ce_.punishVa’o,le
of the N I Act, Hence, Ixproceed the
following:

Register’–a__crimi’n’al– ca accused

in RegisteVr__’:Noii.’sII_I offence ” punishable u/s

138,’otth’eri:i$!veg’otiVab.l:e’«tiinstrttmlevnts Act, 1881, and
issue-.,s{smrrioVns’,'”‘to by RPAD for the
aforesauid, ” offiencea PF and postage paid.
Ftetui”nab|e by_V_V1€’3/12/09.”

careful perusal of impugned order, it is clear

,ll~1.agistrate has perused the original complaint

‘ and do«curr}ve’n.t,s= produced alongwith the complaint and also

_.,R/j,”.’A”sviiorn,statement and on the basis of the materials available

=recor’d, he was satisfied that there was prima facie case

.:’_4aig.ai«nst the petitioner–accused. The learned Magistrate has

gr

wkj

I]

focused his attention to the averment made in the complaint.

Therefore, it IS difficult to say that the learned Magtstratehas

not applied his mind. Therefore, the contention

learned Senior Counsei that the cognizance ta|<e.n_:" H

law has no force.

I

15. The last contention urged the le.a”r’n,ed__HSe:hior

Counsel for petitioner ‘_-is that’ ‘the,::chVequ’e” been
presented within 6 month5s*««.f.riJmf.the~d’atei.of~.handing over the

cheque to the complainant.»»- ail-sot;niiitedllattention of this

Court to Section_Vi.:v38:If{a’) oi”Neg_otia:hlein’stl”ument Act.

16. ylilnlvthtistvregnvard,_’:lea.’rned..”Counsei for the respondent

has relied on ‘the case of Asho/<:""months' period has to be calculated for

AA purposes of proviso (a) from the date mentioned
.V:o'nj_«the face of cheque and. not from any earlier
date when drawer actually gave cheque to

'T drawee."

Further, Section :L18(b) of the Negotiable Instruments

Act as to date -~ that every negotiabie instrument bearing a

date was made or drawn on such date. Six monthsg’.ihasV.t_obe”

calculated from the date mentioned in the chequV_e__’~.jfihveirefore’,.V_4’f

it is difficult to accept the contention”foVf’:’ti1e”<lea:rn-e_d'«_$en'i'or7

Counsel that the cheque has not beenlpresenterdtwiithi'n"'av"

period of six months from the date"'o:n'whichlitisiid'i*aii§ivn:

17. There is no pr’ec’i’se applied
to quash the proceedings;EéichEase~”‘~hVa’s5._’;t.h~erefore to be
considered on its2_”‘o\)§ijiri:ii’n1e.rit decision has to

be taken to not. The learned

Magistratefihass’focusedrhis”~att*en’tion to the averrnents made

in the C0l’i’i[5’ia_il’It_ a’n_d”‘iV.’tal<:'é_.ncognizance of the offence.

4'Avermer.rt if made Vninltvhe compiaint constitutes the offence

the principle laid down in the decisions

cited.s'u.praV"'iiAe'_;,__ 2lifJOi.1(3) SCC 726 and aiso not signing of the

order s'h'eet'ibeing an curable irregularity, I am of the opinion

"it*i.s. not rarest of rare case where this Court can exercise

inherelntwjpower to qiiashthe proceedings.

/,

E?'/,

£1

18. In that view of the matter, I pass the following:

ORDER

This Criminal Petition is d:’sm:’sse?d.