{"id":29308,"date":"2009-06-09T00:00:00","date_gmt":"2009-06-08T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/rakesh-trade-credits-limited-vs-m-hussain-on-9-june-2009"},"modified":"2018-04-04T15:16:46","modified_gmt":"2018-04-04T09:46:46","slug":"rakesh-trade-credits-limited-vs-m-hussain-on-9-june-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/rakesh-trade-credits-limited-vs-m-hussain-on-9-june-2009","title":{"rendered":"Rakesh Trade Credits Limited vs M.Hussain on 9 June, 2009"},"content":{"rendered":"<div class=\"docsource_main\">Kerala High Court<\/div>\n<div class=\"doc_title\">Rakesh Trade Credits Limited vs M.Hussain on 9 June, 2009<\/div>\n<pre>       \n\n  \n\n  \n\n \n \n  IN THE HIGH COURT OF KERALA AT ERNAKULAM\n\nCRL.A.No. 418 of 2003()\n\n\n1. RAKESH TRADE CREDITS LIMITED,\n                      ...  Petitioner\n\n                        Vs\n\n\n\n1. M.HUSSAIN, S\/O. MOIDEENKUTTY,\n                       ...       Respondent\n\n2. STATE OF KERALA, REPRESENTED BY THE\n\n                For Petitioner  :SRI.K.M.SATHYANATHA MENON\n\n                For Respondent  :SRI.T.K.AJITH KUMAR\n\nThe Hon'ble MR. Justice M.N.KRISHNAN\n\n Dated :09\/06\/2009\n\n O R D E R\n                        M.N. KRISHNAN, J.\n                = = = = = = = = = = = = = = =\n                 Crl. Appeal NO. 418      OF 2003\n                = = = = = = = = = = = = = = =\n           Dated this the 9th day of June, 2009.\n\n                         J U D G M E N T\n<\/pre>\n<p>      This appeal is preferred against the order of acquittal in<\/p>\n<p>S.T.40\/99 of the Chief Judicial Magistrate Court, Manjeri. The<\/p>\n<p>brief facts necessary for the disposal of the appeal are stated<\/p>\n<p>as follows. It is the case of the complainant that the accused<\/p>\n<p>had purchased a vehicle under a hire purchase agreement and<\/p>\n<p>on account of a final settlement on 25.7.98 towards the<\/p>\n<p>discharge of the liability had issued a cheque for Rs.1,33,150\/-<\/p>\n<p>which    when    presented   for   encashment    returned   with<\/p>\n<p>insufficiency of funds. Thereafter notice was issued and action<\/p>\n<p>initiated.\n<\/p>\n<p>      2.    The case of the defence appears to be that there<\/p>\n<p>was no such transaction as alleged by the prosecution. It is<\/p>\n<p>his case that he had gone to a private financing company for<\/p>\n<p>the purpose of purchasing a vehicle and in that establishment<\/p>\n<p>he met the Managing Director of the complainant&#8217;s company<\/p>\n<p>Crl.A. 418 OF 2003<br \/>\n<span class=\"hidden_text\">                                 -2-<\/span><\/p>\n<p>namely Jain and it was informed that a vehicle is available for<\/p>\n<p>Rs.65,000\/- and that the accused can purchase the same by<\/p>\n<p>remitting the amount of Rs.65,000\/- in 13 equal monthly<\/p>\n<p>instalments. The vehicle so purchased was not in a good<\/p>\n<p>condition.    The contention is that in order to perform the<\/p>\n<p>contract towards security a blank cheque was given and that<\/p>\n<p>blank cheque is utilized for the purpose of filing the case.<\/p>\n<p>       3.   Now, the only matter to be looked into is, being a<\/p>\n<p>criminal prosecution whether the complainant has discharged<\/p>\n<p>his burden to establish that the accused had issued a cheque<\/p>\n<p>towards the discharge of the liability.         According to the<\/p>\n<p>complainant the original transaction is for Rs.1,10,000\/- with a<\/p>\n<p>stipulation to pay the amount in 30 monthly equal<\/p>\n<p>instalments. It is the definite case of the complainant that on<\/p>\n<p>25.7.98 the accused came over and settlement was arrived<\/p>\n<p>whereby it was fixed that the amount due to the complainant<\/p>\n<p>at Rs.1,33,150\/-. It is his case that towards the discharge of<\/p>\n<p>the liability a cheque was issued and the dishonour of the<\/p>\n<p>cheque is the cause of action. Now, the learned Chief Judicial<\/p>\n<p>Crl.A. 418 OF 2003<br \/>\n<span class=\"hidden_text\">                               -3-<\/span><\/p>\n<p>Magistrate had analysed the evidence threadbare in this case<\/p>\n<p>and had pointed out the improbability and impossibility to<\/p>\n<p>accept the case of the complainant.\n<\/p>\n<p>       4.   It has to be remembered that, according to the<\/p>\n<p>prosecution, the amount due on 25.7.1998 is Rs.1,33,150\/-.<\/p>\n<p>On 1.6.1998 the complainant issued a notice to the accused<\/p>\n<p>stating that there was a hire purchase agreement for<\/p>\n<p>Rs.65,000\/- and you have to pay that amount.            When<\/p>\n<p>confronted with such difficult situation the blame was put on<\/p>\n<p>the lawyer contending for the position that the lawyer had<\/p>\n<p>issued the notice without knowing about the settlement. But it<\/p>\n<p>can again be seen that another notice is issued as Ext.D2 and<\/p>\n<p>yet another notice on 26.2.1999 as Ext.D5. In Ext.D2 notice<\/p>\n<p>also the amount shown is Rs.78,000\/-. So issuance of Ext.P13<\/p>\n<p>coupled with Exts.D2 and D3 would conclusively establish one<\/p>\n<p>factor namely that there was no settlement talk as alleged by<\/p>\n<p>the complainant on 27.5.98. It is not a private transaction<\/p>\n<p>between the two individuals. It is a company which enters<\/p>\n<p>into a transaction or a settlement. When a company enters<\/p>\n<p>Crl.A. 418 OF 2003<br \/>\n<span class=\"hidden_text\">                               -4-<\/span><\/p>\n<p>into a transaction or a settlement it has to be evidenced by<\/p>\n<p>documents which is kept in the ordinary course of business<\/p>\n<p>everyday. Absolutely no scrap of paper is produced in support<\/p>\n<p>of the contention raised by the complainant in this case. Then<\/p>\n<p>the learned Chief Judicial Magistrate has pointed out the<\/p>\n<p>contention of the complainant that it has nothing to do with<\/p>\n<p>the Priyanka Financiers at Muvattupuzha. The learned Chief<\/p>\n<p>Judicial Magistrate relies upon the statement in the notice to<\/p>\n<p>the effect that the amount has to be paid by the accused to<\/p>\n<p>the complainant&#8217;s representative at Priyanka Financiers,<\/p>\n<p>Muvattupuzha. So what is spoken to and projected by the<\/p>\n<p>complainant appears to be totally incorrect and therefore it<\/p>\n<p>has to be held that the evidence is not sufficient. It has to be<\/p>\n<p>always remembered that a mere admission of a signature in a<\/p>\n<p>blank cheque does not amount to execution of a document.<\/p>\n<p>Here, there is a specific contention that only a blank signed<\/p>\n<p>cheque has been given.      There was a duty cast upon the<\/p>\n<p>complainant to prove the execution of the same then only the<\/p>\n<p>legal presumptions u\/Ss. 118 and 113 of the N.I.Act would<\/p>\n<p>Crl.A. 418 OF 2003<br \/>\n<span class=\"hidden_text\">                                  -5-<\/span><\/p>\n<p>follow.    It is absolutely lacking and therefore execution of<\/p>\n<p>cheque D1 is not proved. When it is so presumption does not<\/p>\n<p>arise. The case set up by the accused appears to be more<\/p>\n<p>probable and acceptable.\n<\/p>\n<p>       5.    Lastly, the learned counsel would submit that it was<\/p>\n<p>the burden on the accused to prove that there was no<\/p>\n<p>mediation. It is a well settled principle that u\/s 315 Cr.P.C.<\/p>\n<p>no accused can be compelled to give evidence and further the<\/p>\n<p>non-supply of a material by an accused cannot be commended<\/p>\n<p>upon in a criminal proceedings. So that argument also cannot<\/p>\n<p>be accepted. So, on an evaluation of the entire materials, I<\/p>\n<p>find that the learned Chief Judicial Magistrate had only arrived<\/p>\n<p>at a proper decision on a consideration of the materials made<\/p>\n<p>available before him. The appeal lacks merit and therefore it<\/p>\n<p>is dismissed.\n<\/p>\n<\/p>\n<p>                                  M.N. KRISHNAN, JUDGE.\n<\/p>\n<p>ul\/-\n<\/p>\n<p>Crl.A. 418 OF 2003<br \/>\n<span class=\"hidden_text\">                      -6-<\/span><\/p>\n<p>                          M.N. KRISHNAN, J.\n<\/p>\n<p>                         = = = = = = = = = =<br \/>\n                         Crl.A. No. 418 OF 2003<br \/>\n                        = = = = = = = = = = =<\/p>\n<p>                           J U D G M E N T<\/p>\n<p>                            9th June, 2009<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kerala High Court Rakesh Trade Credits Limited vs M.Hussain on 9 June, 2009 IN THE HIGH COURT OF KERALA AT ERNAKULAM CRL.A.No. 418 of 2003() 1. RAKESH TRADE CREDITS LIMITED, &#8230; Petitioner Vs 1. M.HUSSAIN, S\/O. MOIDEENKUTTY, &#8230; Respondent 2. STATE OF KERALA, REPRESENTED BY THE For Petitioner :SRI.K.M.SATHYANATHA MENON For Respondent :SRI.T.K.AJITH KUMAR The [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,21],"tags":[],"class_list":["post-29308","post","type-post","status-publish","format-standard","hentry","category-high-court","category-kerala-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Rakesh Trade Credits Limited vs M.Hussain on 9 June, 2009 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/rakesh-trade-credits-limited-vs-m-hussain-on-9-june-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rakesh Trade Credits Limited vs M.Hussain on 9 June, 2009 - Free Judgements of Supreme Court &amp; 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