High Court Kerala High Court

Aboobacker.P.P vs M/S.Shriram Investments Ltd on 23 July, 2009

Kerala High Court
Aboobacker.P.P vs M/S.Shriram Investments Ltd on 23 July, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

Crl.Rev.Pet.No. 2337 of 2009()


1. ABOOBACKER.P.P,AGED 38 YEARS,
                      ...  Petitioner

                        Vs



1. M/S.SHRIRAM INVESTMENTS LTD,CALICUT,
                       ...       Respondent

2. STATE OF KERALA REP:BY PUBLIC PROSECUTOR

                For Petitioner  :SRI.T.G.RAJENDRAN

                For Respondent  : No Appearance

The Hon'ble MR. Justice THOMAS P.JOSEPH

 Dated :23/07/2009

 O R D E R
                              THOMAS P. JOSEPH, J.
                             --------------------------------------
                               Crl.R.P.No.2337 of 2009
                             --------------------------------------
                      Dated this the 23rd day of July, 2009.

                                          ORDER

Notice to respondent No.1 is dispensed with in view of the order I am

proposing to pass in this revision which is not prejudicial to it. Public Prosecutor

takes notice for respondent No.2.

2. This revision is in challenge of judgment of learned Additional

Sessions Judge, Fast Track (Adhoc-II), Kozhikode in Crl.Appeal No.954 of 2007

confirming conviction and sentence of petitioner for offence punishable under

Section 138 of the Negotiable Instruments Act (for short, “the Act”). Petitioner

faced trial in the court of learned Judicial First Class Magistrate-IV, Kozhikode in

C.C.No.332 of 2005. Case of respondent No.1 which is a private limited

company engaged in business of lease and hire purchase is that at the request

of petitioner a loan of Rs.2,50,000/- was sanctioned to him, he availed

Rs.1,10,000/- agreeing to repay the amount in instalments but defaulted

payment of instalments. At a time when Rs.68,000/- was due from petitioner he

issued Ext.P3, cheque dated 30.3.2005 for discharge of that debt. That cheque

was dishonoured as account was closed and since there is no sufficient fund in

the account as proved by Exts.P4 and P5. Service of statutory notice on

petitioner is proved by Exts.P6 to P8. Ext.P9 is the reply. PW1, authorised by

Ext.P1, power of attorney gave evidence on behalf of respondent No.1. He

Crl.R.P.No.2337/2009

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proved Ext.P10, hypothecation agreement executed by petitioner. Petitioner

contended that at the time of availing loan a signed blank cheque was obtained

by respondent No.1 which has been misused. Courts below found in favour of

due execution of the cheque. It is contended by learned counsel that due

execution of the cheque is not proved. It is also contended that what exactly the

amount actually due to respondent is not in evidence.

3. Section 139 of the Act provides for a presumption in favour of the

holder of the cheque that such holder received the cheque for the discharge, in

whole or in part of any debt or other liability. It is true, it is open to a drawer of

the cheque to dispute the liability as well as the quantum. In this case, petitioner

denied execution of the cheque as well as quantum. So far as execution of the

cheque is concerned, it is not disputed that Ext.P3 contained the signature of

the petitioner, is drawn on the account he had maintained with the bank and he

had given that cheque to respondent No.1 in connection with the transaction. It

is true that mere admission or proof of signature does not tantamount to

admission or proof of the instrument as such but it went a long way in proving

due execution of the cheque. Apart from suggesting that respondent No.1

obtained signed blank cheque at the time of transaction, there is nothing on

record to hold so. Nothing is brought out in the evidence of PW1 on behalf of

respondent No.1 to disbelieve his version regarding execution of the cheque.

Therefore, courts below are justified in holding in favour of due execution of the

cheque.

4. Then, presumption under Section 139 of the Act follows. It is then

Crl.R.P.No.2337/2009

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for petitioner to rebut that presumption by appropriate means. In this case,

petitioner has not produced any document to show the amount he allegedly paid

to respondent No.1. Assuming that he is not in possession of any such

document, he could have summoned such documents from the possession of

respondent No.1 which also has not been done. In other words, petitioner has

failed to rebut the presumption under Section 139 of the Act as to the passing of

the consideration as well as the extent of liability referred to in Ext.P3. In the

circumstances I do not find reason to interfere with the conviction of petitioner.

5. Learned magistrate sentenced petitioner to undergo simple

imprisonment for one month and directed payment of compensation of

Rs.68,000/- to respondent No.1. A default sentence of imprisonment for one

month was provided. Appellate court did not interfere with the conviction and

sentence. Learned counsel submitted that substantive sentence imposed is

excessive and requested that petitioner may be granted three months’ time to

deposit compensation. According to the learned counsel petitioner is unable to

raise the amount immediately on account of financial difficulties.

6. Having regard to the nature of offence and object of legislation, I

am satisfied that simple imprisonment till rising of the court is sufficient in the

ends of justice. There is no reason to interfere with the direction for payment of

compensation at the instance of petitioner. Considering the circumstances

stated by learned counsel, petitioner is granted three months’ time to deposit

compensation. In case of default, petitioner has to undergo simple

imprisonment for two months.

Crl.R.P.No.2337/2009

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Resultantly, this revision is allowed in part to the following extent:

i. Substantive sentence awarded to the petitioner is modified

as simple imprisonment till rising of the court.

ii. Petitioner is granted three months’ time to deposit

compensation in the trial court as ordered by that court. In case of

failure, petitioner has to undergo simple imprisonment for two

months.

iii. It is made clear that it will be sufficient compliance of the

direction for deposit of compensation if petitioner paid

compensation to respondent No.1 through his counsel in the trial

court and respondent No.1 filed a statement in the trial court

through its counsel acknowledging receipt of compensation within

the above said period.

Petitioner shall appear in the trial court on 26.10.2009 to receive the sentence.

Execution of warrant if any against the petitioner will stand in abeyance till

26.10.2009.

THOMAS P.JOSEPH,
Judge.

cks