Siddagangamma vs Shivagami on 10 July, 2026

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    Bangalore District Court

    Siddagangamma vs Shivagami on 10 July, 2026

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                                              CC.No.8301/2022
      KABC030210292022
    
    
    
    
                         Presented on : 14-03-2022
                         Registered on : 14-03-2022
                         Decided on : 10-07-2026
                         Duration      : 4 years, 3 months, 27 days
    
    IN THE COURT OF XII ADDL. CHIEF JUDICIAL MAGISTRATE,
                         BENGALURU.
                 Dated this the 10th day of July, 2026
                                :Present:
                         Smt. Dhanalakshmi.R
                  XII Addl. Chief Judicial Magistrate,
                              Bengaluru.
    
                          CC.No.8301/2022
    
       Complainant :        Smt.Siddagangamma
                            W/o. Lakshmanaiah,
                            Aged about 58 years,
                            R/at: No.189, 1st Cross,
                            4th Block, Ramachandrapura,
                            Jalahalli Post,
                            Bengaluru-560013.
    
                            (By Sri.A.D.,- Advocate)
    
                                      V/s
    
       Accused     :        Smt.Shivagami,
                            W/o. Kumareshan,
                            Aged about Major,
                            R/at: No.164, 2nd Cross,
                            4th Block, Ramachandrapura,
                            Jalahalli Post,
                            Bengaluru-560013.
    
                            (By Sri.A.R.N., - Advocate )
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                                             CC.No.8301/2022
    KABC030210292022
    
    
    
    
    1.   The date of                 : 31.03.2021
         commission of the
         offence
    2.   Date of the filing of       : 16.10.2021
         offence
    3.   Name of the                 : Smt.Siddagangamma
         Complainant
    4.   Date of recording of         07.12.2021
         evidence
    5.   Date of closing of          : 09.12.2025
         evidence
    6.   Offence Complained : 138 of NI Act
         of
    7.   Opinion of the               Accused is Convicted
         Judge
    8.   Date of such order          : 10.07.2026
         for the following
    
    
                        JUDGMENT
    

    01. This case is registered U/sec.200 of

    Cr.P.C based on the written complaint given by the

    SPONSORED

    complainant against the accused for the offence

    punishable under Section 138 of Negotiable

    Instrument Act, 1881 (hereinafter called as NI Act

    for the purpose of brevity).

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    02. The case of the complainant in brief is as

    under : –

    The accused and her husband are close

    family friends of the complainant and her husband

    and they are residing in the same locality from

    past 30 years. The accused and her husband have

    approached the complainant and her husband in

    the month of March 2019 for financial assistance

    of Rs.10,00,000/- for the purpose of her business.

    Accordingly, the complainant has lent hand loan of

    Rs.9,50,000/- to the accused by way of cash in the

    third week of March 2019. The accused has failed

    to repay the hand loan amount within a period of 9

    months, further period of 3 months and another

    further period of 6 months as agreed by her. Upon

    insistence, the accused has issued three cheques.

    The cheques for sum of Rs.1,50,000/- each dated

    25.01.2021 and 29.03.2021 respectively. The third
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    cheque is bearing No.000003 for sum of

    Rs.6,50,000/- dated 25.05.2021 drawn on Bank of

    Baroda, Vidhyaranyapura Branch, Bengaluru. The

    cheque dated 29.05.2021 for sum of Rs.1,50,000/-

    was honoured. As per the instruction of the

    accused, when the complainant has presented the

    second cheque dated 29.03.2021 for sum of

    Rs.1,50,000/-, the same is dishonored with an

    endorsement as “Funds insufficient” on

    31.03.2021. When the said fact brought to the

    knowledge of the accused, she has requested that

    she will pay the cheque amount of Rs.1,50,000/-

    at the time of payment of amount covered under

    the third cheque. The complainant being unaware

    of the time stipulation, has not sent the legal

    notice. Later, the complainant as per the

    instruction of the accused, when presented the

    third cheque of Rs.6,50,000/- for encashment

    through her Banker, the same came to be
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    dishonored with an endorsement as “Funds

    insufficient” on 28.05.2021. When the said fact

    brought to the knowledge of the accused, she has

    requested the complainant to represent the

    cheque. Accordingly when the complainant has

    represented the cheque again it came to be

    dishonored on 01.07.2021 with an endorsement as

    “Funds insufficient”. Again when the said fact

    brought to the knowledge of the accused she has

    requested the complainant to wait finally till

    16.08.2021 and requested to re-present the

    cheque on any day after 16.08.2021. As per the

    instruction of the accused, when the complainant

    has re-presented the third cheque for encashment

    for the third time also, it came to be dishonoured

    on 20.08.2021 with an endorsement as “funds

    insufficient”. As such the complainant has issued

    demand notice dt: 02.09.2021 to the accused

    calling upon her to repay the cheques amount
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    within 15 days from the date of receipt of the said

    notice. Inspite of receiving the said notice, the

    accused has not repaid amount. Hence, the

    present complaint.

    3. On filing of the complaint, cognizance of

    the offence is taken and recorded the sworn

    statement of the complainant and marked 12

    documents as per Ex.P.1 to Ex.P.12 The

    complainant has complied all the statutory

    requirements under Sec.138 of N.I.Act. Thereafter,

    the case is registered against the accused and

    summons issued.

    4. On service of summons, the accused

    has not appeared before the court. On issuance of

    NBW, by advancing the case the accusedf

    appeared through her counsel and she was

    enlarged on bail. The substance of accusation was
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    read over and explained to the accused in the

    language known to her. As per the directions of

    Hon’ble Supreme Court of India in ” Indian Bank

    Association V/s Union of India & Others reported

    in (2014) 5 SCC 590 , this court has treated the

    sworn statement of the complainant as his

    evidence. The statement of the accused was also

    recorded under Section 313 of Cr.P.C. The

    accused has denied the incriminating evidence

    found against her as false and stated nothing. On

    application filed by the counsel for the accused

    under Section 145(2) of NI Act, permission was

    accorded to cross examine PW1. Accordingly, PW1

    was cross examined by learned counsel for the

    accused. The complainant has examined one

    witness examined as PW2 and marked 02

    documents as Ex.P13 and Ex.P14. PW2 was fully

    cross examined by the accused. The accused
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    examined herself as DW1 and not produced any

    documents.

    5. Heard the Learned counsel for the both

    sides. Perused the records.

    6. The following points arise for

    consideration:

    POINTS

    1) Whether the complainant proves
    that the accused has issued the
    cheques for the legally
    recoverable debt as alleged by
    her?

    2) Whether the accused has
    committed the offence punishable
    under section 138 Act?

    3) What Order or Sentence?

    7. The above points are answered as under:

    Point No.1: In the Affirmative,

    Point No.2: In the Affirmative,
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    Point No.3: As per the final

    order for the following:

    R E A S O N S

    8. POINT No. 1 and 2: This Court is of the

    opinion that it need not repeat the entire

    averments made in the complaint here also, as this

    Court has already narrated the same at the

    inception of this judgment.

    9. In order to bring home a liability under

    Section 138 of NI Act, 1881, following elements

    must spring out from the averments in the

    complaint and the evidence adduced by the

    complainant, viz.

    1. A person must have drawn a cheque on an
    account maintained by him in a bank for
    payment of a certain sum of money to
    another person from out of that account for
    the discharge of any legally enforceable
    debt or liability;

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    2. The cheque has been presented to the bank
    within a period of three months from the
    date mentioned on the cheque or within the
    period of its validity, whichever is earlier;

    3. The cheque is returned by the bank unpaid
    either because the amount of money
    standing to the credit of the account is
    insufficient to honour the cheque or that it
    exceeds the amount arranged to be paid
    from that account by an agreement made
    with the bank;

    4. The payee or the holder in due course of the
    cheque makes a demand for the payment of
    the said amount of money by giving a
    notice in writing to the drawer of the
    cheque within 30 days of the receipt of
    information by him from the bank
    regarding the return of the cheque as
    unpaid;

    5. The drawer of such cheque fails to make
    the payment to the payee or the holder in
    due course of the cheque within 15 days of
    the receipt of the notice.

    10. It is well settled that whenever

    complainant alleges that the accused has

    committed the offence punishable under Section

    138 of NI Act, obviously, the complainant has to
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    establish that there was a legally enforceable debt

    and to discharge the said legally enforceable debt

    the accused has issued the cheque and

    subsequently the said cheque has been

    dishonoured because of insufficiency of funds in

    the account of the drawer/accused. Keeping in

    view of these main and important ingredients of

    Section 138 of NI Act, this Court proceeds to

    discuss the evidence available on record.

    11. As been stated above, the complainant

    has examined herself as PW-1. The PW-1 has filed

    affidavit in lieu of her examination in chief under

    Section 145 of N I Act reiterating the entire

    averments of the complaint.

    12. The Ex.P-1 and Ex.P2 are the cheques

    dt: 29.03.2021 & 25.05.2021. On perusal of the

    said cheques makes it clear that it supports the
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    stand taken by the complainant herein. The Ex.P3

    is the Bank endorsement disclose that the cheque

    at Ex.P1 is dishonoured on 31.03.2021. The Ex.P4

    to Ex.P6 are the Bank endorsements disclose that

    the cheque at Ex.P2 has been dishonoured on

    28.05.2021, 01.07.2021 and 20.08.2021

    respectively for the reason “Funds Insufficient” in

    the account of the drawer. As per clause (a) of

    proviso to Section 138 of NI Act the cheque is to be

    presented for encashment within three months or

    within the period of its validity from the date on

    which the cheque has issued. The Ex.P1 & Ex.P2

    bares the date 29.03.2021 & 25.05.2021

    respectively and it was presented on 31.03.2021,

    28.05.2021, 01.07.2021 and 20.08.2021

    respectively which is within the prescribed period.

    13. Further, as per clause (b) of proviso to

    Section 138 of N I Act, the complainant is required
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    to issue legal notice, in writing, to the

    drawer/accused making a demand for repayment

    of the said cheque amount within 30 days from the

    date of receipt of information about the dishonour

    of the cheque. The Ex.P3 is the drawee’s Bank

    endorsement dt: 31.03.2021 regarding dishonour

    of Ex.P1 cheque and Ex.P4 to Ex.P6 are the

    drawee’s Bank endorsement dated 28.05.2021,

    01.07.2021 and 20.08.2021 respectively regarding

    dishonour of Ex.P2 cheque. It is to be seen that

    the cheque at Ex.P2 is dt: 25.05.2021 and it has

    been presented for encashment for 03 times within

    the period of 03 months from the date of cheque.

    As it is held in catana of cases the cheque can be

    presented for encahsment any number of times

    within the period of its validity. The Ex.P-7 is the

    office copy of the legal notice dated 02.09.2021

    and Ex.P8 is the Postal Receipt dt: 02.09.2021.

    Therefore, the complainant has issued legal notice
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    within 30 days from the date of knowledge of

    dishonor of cheque at Ex.P2. But the cheque at

    Ex.P1 is dishonoured on 31.03.2021 and legal

    notice is dt: 02.09.2021 which is issued for

    dishonored for both the cheques at Ex.P1 and

    Ex.P2. Hence the notice at Ex.P7 is not issued

    within 30 days from the date of dishonour of Ex.P1

    cheque. The learned counsel for the complainant

    has produced the reportable order of the Hon’ble

    Apex court in M.A.No.665/2021 in SMW (C)

    No.3/2020 in In Re congnizance for exention of

    limitation wherein it is held that due covid-19 the

    period from 15.03.2020 till 02.10.2021 shall also

    stand excluded in computing the periods

    presecribed under Sections 23(4) and 29A of the

    Arbitration and Conciliation Act, 1996, Section

    12A of the Commercial Courts Act, 2015 and

    provisos (b) and (c) of Section 138 of Negotiable

    Instrument Act, 1881 and any other laws, which
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    prescribe period(s) of limitation for instituting

    proceedings. Hence as per the above said order,

    the provisions of clause (a) & (b) of proviso to

    Section 138 of N I Act have been complied with.

    The Ex.P.9 is the postal acknowledgment dt:

    17.09.2021 and it shows that the legal notice got

    issued by the complainant is served to the

    accused. As per clause (c) of the proviso to Section

    138 of N I Act, the drawer/accused is entitled to

    have 15 days time to make the payment of the

    cheque amount. Therefore, the complainant was

    required to wait till 01.10.2021 According to the

    complainant, no payment was made by the

    drawer/accused within that period. Thus the

    cause of action for filing the complaint arose on

    02.10.2021. Further the clause (b) of Section 142

    of N I Act makes it clear that the complaint has to

    be filed within 30 days from the date of cause of

    action arose. Thus this complaint was required to
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    be filed on or before 02.11.2021. The endorsement

    made by this Court on the complaint reveals that

    the complainant presented this complaint on

    21.10.2021. Hence the complaint is well within the

    time limit. Therefore, this court is of the

    considered opinion that that the complainant has

    complied all the necessary components of Section

    138 of NI Act.

    14. The complainant has stated that the

    accused and her husband are close to each other

    and they are known to each other from past 30

    years as they are residing in the same locality. The

    said aspect is not at all denied by the accused. She

    has admitted that she knows the complainant. In

    her reply notice at Ex.P7 and also during her chief

    examination accused stated that she knows the

    complainant from the year 2019. The complainant

    has stated that the accused for the repayment of
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    hand loan of Rs.9,50,000/- has issued Ex.P1 and

    Ex.P2 cheques and another cheque for sum of

    Rs.1,50,000/- dated 25.01.2021. The cheque for

    sum of Rs.1,50,000/- dated 25.01.2021 was

    encashed, but the cheques at Ex.P1 and Ex.P2

    came to be dishonored. The accused has not at all

    denied that the cheques at Ex.P1 and Ex.P2 does

    not belongs to her account and she has also not

    denied her signature in the said cheques. She has

    only disputed the handwriting in the said cheques

    are not written by the accused.

    15. The accused has stated that she has

    borrowed only Rs.50,000/- from the complainant

    and the complainant has a came to her house and

    picked up quarrel, insisting to pay Rs.1,50,000/-

    along with interest. Hence the accused has given

    complaint before the police station. In the police

    station, the police have forcibly taken the Ex.P1
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    and Ex.P2 cheques and another cheque for sum of

    Rs.1,50,000/-. The cheque for sum of

    Rs.1,50,000/- which has been encashed is given

    by the accused for prepayment of the hand loan,

    whereas she has given the post dated Ex.P1 and

    Ex.P2 cheque as a security purpose only by

    signing the cheques. The other contents in the

    cheques are not written by her. At this stage this

    Court relies upon At this stage this court relies

    upon the judgment of the Hon’ble Apex court

    reported in (2019) 2 SCR 24 between Birsingh vs.

    Mukesh Kumar, wherein it is held that :

    ” if a signed blank cheque is voluntarily
    presented to a payee, towards some payment,
    the payee may fill up the amount and other
    particulars. This in itself would not invalidate
    the cheque and would attract presumption
    under Section 139 of the Negotiable
    Instruments Act. The onus would still be on the
    accused to prove that the cheque was not in
    discharge of a debt or liability by adducing
    evidence.”.

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    16. This court also relies upon the judgment

    of Hon’ble Supreme Court in the case of Laxmi

    Dyechem vs. State of Gujarat & Ors, reported in

    (2012) 13 SCC 375 wherein the Hon’ble Apex

    Court while uphelding the validity of post-dated

    cheque in a proceeding u/s 138 of the Act, has

    categorically held that the drawer of a post-dated

    cheque cannot be allowed to get away with the

    penal provisions of Section 138 of the Act by

    countermanding payment of the said post-dated

    cheque.

    17. As per the above said judgments the

    contention of the accused the she has issued

    signed, blank, post dated cheques cannot absolve

    the liability of the accused. In this case the

    issuance of the post dated cheques as per Ex.P1

    and Ex.P2 are not in dispute. The signature of the

    accused in the said cheques is also not in dispute.

    Hence the presumption under Section 118 of the
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    NI Act that the cheques in question were drawn for

    consideration and the presumption under Section

    139 of the NI Act that the holder of the cheque

    received the said cheque in discharge of a legally

    enforceable debt or liability arises against the

    accused.

    18. The accused in order to rebut the said

    presumption has cross examined the complainant

    at length ,cross examined PW.2 and also examined

    herself as DW1. The accused during the cross

    examination of the complainant has questioned

    the financial capacity of the complainant to lend

    sum of Rs.9,50,000/- to her. It is pertinent to note

    that the complainant has specifically stated that

    her husband has retired in the year 2016 and he

    got retirement benefits. Out of the said amount

    she has lent amount to the accused. The daughter

    of the complainant who examined herself as PW2
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    has also deposed the same and she has produced

    the Bank statement of her father at Ex.P13 and

    her bank statement at Ex.P14 respectively. The

    learned counsel for the complainant has stated

    that as per Ex.P13 on 25.02.2016, the husband of

    the complainant got retirement benefits. The said

    amount is tune of Rs.6,44,380/-. It is pertinent to

    note that the accused has given reply notice to the

    complainant as per Ex.P7. In the said reply notice,

    the accused has nowhere challenged the financial

    capacity of the complainant to lend sum of

    Rs.9,50,000/- to the accused.

    19. At this stage this court relies upon the

    judgment of the Hon’ble Apex court reported in

    (2022) 6 SCC 735 between Tedhi Singh v. Narayan

    Das Mahant, wherein it is held that the

    complainant need not show in first his financial
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    capacity, unless accused sets up case questioning

    complainant’s capacity in reply to statutory notice.

    20. At this stage, this Court also relies upon

    the judgment of the Hon’ble Apex Court reported

    in (2023) 16 SCC 125 between Rajaram since

    deceased through LRs vs. Marudachalam, since

    deceased through LRs. wherein it is held that the

    presumption under Section 118 and 139 of NI Act

    can be rebutted by the accused, examining the

    income tax officer and bank officials of the

    complainant/drawee. As per the above said

    judgments when the accused has not examined

    any official before the court and also in the reply

    to the statutory notice has not questioned the

    complainant’s financial capacity to lend the

    amount, the contention of the accused that the

    complainant had no wherewithal to lend amount

    to the accused does not survive consideration.
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    21. It is the specific defence of the accused

    that the complainant is a chronic money lender

    who lends money illegally without valid license.

    The accused in the month of March 2019 has

    borrowed hand loan of Rs.50,000/- from the

    complainant and she was paying monthly interest

    of Rs.2,500/- regularly till july 2020. But due to

    the personal difficulties, she could not pay the

    interest for the month of August to October 2021.

    Hence, the complainant during the last week of

    October 2021 went to the house of the accused

    and abused her in filthy languages and demanded

    for exorbitant sum of Rs.1,50,000/-. Hence, the

    accused in order to protect herself from the

    complainant, has gone to the police station and

    filed complaint. In the police station, the police

    have coerced the accused to issue a post dated

    cheque for sum of Rs.1,50,000/- and accordingly
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    she has issued a cheque dated 25.01.2021 in the

    presence of the police. But the complainant has

    insisted to give other two post dated cheques as a

    security purpose. Accordingly, the accused left

    with no option has issued two post dated cheques

    dated 29.03.2021 and 25.05.2021 to the

    complainant. Though the cheque of Rs.1,50,000/-

    has been encashed by the complainant, by

    misusing the other two cheques she has filed false

    case against the accused.

    22. It is to be seen that the accused though

    specifically taken a contention that she has issued

    Ex.P1 and Ex.P2 cheques and also another cheque

    for sum of Rs.1,50,000/- to the complainant in the

    police station, but she has not at all produced the

    copy of the complaint given by her in the police

    station. During the cross-examination of the

    accused, when it is specifically questioned to her
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    that whether she can produce the copy of the

    complaint given to the police station, she stated

    that the police have refused to receive her

    complaint. Further during her cross-examination

    when the certified copy of the complaint dated

    29.10.2020 is shown to the accused, she has not

    accepted the same stating that the handwriting in

    the said document is not written by her. Further

    she has also refused to accept the statement given

    by her before the police station dated 30.10.2020

    which is confronted to her. It is to be seen that the

    complainant has also not produced those

    documents before the court.

    23. The complainant has produced the Ex.P14

    document i.e. the certified copy of the letter

    addressed to the PSI of Vidyaranyapura Police

    Station on 03.11.2020, in which it is mentioned

    that the accused has borrowed a sum of
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    Rs.9,50,000/- from the complainant and for

    settlement of the said hand loan she has issued 3

    cheques, which are Ex.P1 and Ex.P2 cheques and

    another cheque of Rs.1,50,000/- dated

    25.01.2021. It is pertinent to note that the said

    document bares the seal and signature of the PSI

    of Vidyaranyapura Police Station. The accused has

    simply denied the said document. But it is

    pertinent to note that the accused has not taken

    any action against the police for having issued

    such a document to the complainant. It is also

    pertinent to note that the accused though stated

    that she has borrowed only Rs.50,000/- from the

    complainant and she was regularly paying interest

    till July 2020, but she has not produced any

    documents before the court. It is to be seen that

    the cheque at Ex.P1 came to be dishonored on

    31.03.2021. The cheque at Ex.P2 came to be

    dishonored on 28.05.2021, 01.07.2021 and
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    28.02.2021 as per Ex.P4 to Ex.P6 respectively. If

    as per the defence of the accused, when the

    cheque of Rs.1,50,000/- dated 25.01.2021 is

    honoured on 29.01.2021 itself, then what

    prevented the accused to take action against the

    complainant for not returning her two other post-

    dated cheques remained unanswered. Even after

    the appearance of the accused before the court,

    she has not taken any action against the

    complainant for the alleged misuse of the cheques

    at Ex.P1 and Ex.P2. The accused has also not

    taken any action against the police officials for

    coercively taking her cheques in the police station.

    Further, the accused has also not given any stop

    payment instruction to her banker for not to

    honour the cheques at Ex.P1 and Ex.P2.

    24. The learned counsel for the accused has

    relied upon the following citations.
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    1. (2024) 8 SCC 573 between Dattatreya vs.
    Sharanappa.

    2. (2023) 16 SCC 125 Rajaram since
    deceased through legal heirs vs.
    Maruthachalam since deceased through
    legal representatives.

    3. (2019) 5 SCC 418 between Baslingappa
    vs. Mudibasappa.

    4. (2015) 1 SCC 99 between K Subramani v.
    K Damodara Naidu
    .

    25. This Court has carefully gone through

    the entire judgments in detail. But the ratio laid

    down in the aforesaid cases does not applicable to

    the defence taken by the accused, as she has

    failed to prove that the police have forcibly taken

    the Ex.P1 and Ex.P2 cheques as a security and the

    same has been misused by the complainant. The

    accused has to rebut the presumption under

    Section 139 of the NI Act, the standard of proof for

    doing so is that of “Preponderance of probability”.

    Therefore if the accused is able to raise a probable
    29
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    KABC030210292022

    defence which creates doubts about the existence

    of the legally enforceable debt or liability, the

    prosecution can fail. But it is to be seen that in

    this case the accused has failed to rebut the

    presumption. Hence, for the above said reasons it

    is held that the accused has committed an offence

    punishable under Section 138 of the Act. As such,

    Point No.1 and 2 are answered in the AFFIRMATIVE.

    138 of NI Act.

    26. Point No.3: Negotiable Instruments Act

    was enacted to bring credibility to the cheque. The

    very purpose of the enactment is to promote the

    use of the Negotiable Instrument, while to

    discourage the issuance of the cheque without

    having sufficient funds in the account. Such being

    the case, the intention of the legislature is that

    complainant be suitably compensated while the

    accused be punished for his act.

    30

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    KABC030210292022

    27. When compensation is awarded

    enforcement of the same come into question. There

    is no provision in the Code of Criminal Procedure

    for imposing default sentence for enforcing the

    payment of compensation. In this regard, the

    Hon’ble Supreme Court in the decision reported in

    2002 (2) SCC 420 between Suganthi Suresh

    Kumar Vs. Jagadeeshan was pleased to hold that

    “the court may enforce the order by imposing

    sentence in default”. The same is reaffirmed in

    latest decision in 2010 AIR SCW 3398 between

    K.A.Abbas H.S.A. Vs Sabu Joseph. Therefore, it is

    deemed fit to provide default sentence in order to

    enforce the payment of compensation. Ex.P.1 and

    Ex.P2 cheques are of the year 2021. Therefore, the

    complainant is deprived of the money that was

    rightfully due to her for about 05 years.

    Accordingly, it is deemed fit that a compensation
    31
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    KABC030210292022

    of Rs.10,42,000/- (Rupees Ten Lakhs Forty Two

    Thousand only) be granted. It is to be seen that as

    per the reportable judgment of the Hon’ble High

    Court of Karnataka in Crl.R.P.No.996/2016 dt:

    09.07.2025 between M/s.Banavathy and company

    Vs. Maheer Electro Mech (P) Ltd., and to others the

    Hon’ble High Court at paragraph No.21 has held

    as under:

    “while passing the order of the
    sentence after determining the
    fine/Compensation the court shall
    also pass an order to pay future
    interest at the rate of 9% p.a on the
    compensation amount payable to the
    complainant by fixing time of one or
    two months to deposit compensation
    amount so that even if the matter is
    challenged before the Session Court in
    appeal and High Court in Revision the
    interest of the complainant will be
    protected”.

    28. Hence, as per the above judgment the

    complainant is entitled for future interest at the
    32
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    KABC030210292022

    rate of 9% p.a., on the compensation amount from

    the date of judgment till its repayment. Further the

    accused is directed to deposit the compensation

    amount before this court within three months from

    the date of this order. Accordingly, in the light of

    above discussions, this court proceed to pass the

    following:-

    ORDER
    Acting under section 255(2) of Cr.P.C.,
    the accused is convicted for the offence
    punishable under Section 138 of the NI Act
    and she is sentenced to pay fine of
    Rs.10,42,000/- (Rupees Ten Lakhs Forty
    Two Thousand only) and in default
    accused to undergo Simple Imprisonment
    for a period of six months.

    If the fine amount is recovered a sum
    of Rs.10,40,000/- (Rupees Ten Lakhs Forty
    Thousand only) is ordered to be paid to the
    complainant by way of compensation as per
    the provisions under Section 357 of Cr.P.C.
    33

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    KABC030210292022

    and the remaining amount of Rs.2,000/- is
    to be appropriated to the State.

    The complainant is entitled for future
    interest at the rate of 9% p.a., on the
    compensation amount from the date of
    judgment till its complete repayment.

    The accused is directed to deposit the
    compensation amount before this court
    within three months from the date of this
    order.

    The Bail Bond and cash surety of the
    accused shall stand canceled.

    Supply a free copy of this Judgment to
    the accused.

    (Dictated directly using mobile Adalath AI app, copied and computerized by the
    stenographer, corrected by me and then pronounced in the open Court on this
    10th day July, 2026).

    (Dhanalakshmi. R)
    XII Addl. CJM, Bengaluru.

    ANNEXURES

    Witnesses examined for the Complainant:
    34

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    KABC030210292022

    PW.1 : Smt.Siddagangamma

    PW.2 : Smt.Susheelamma

    Documents Ex.ed for the Complainant:

    Ex.P.1 & 2         Cheques
    
    Ex.P.3 to 6        Memo of the Banker
    
    Ex.P.7             Copy of Legal Notice
    
    Ex.P.8             Postal Receipt
    
    Ex.P.9             Postal Acknowledgment
    
    Ex.P.10            Reply notice
    
    Ex.P.11            Postal envelop
    
    Ex.P.12            Letter, dtd 03.11.2020
    
    Ex.P.13 & 14 Bank Statements
    
    

    Witnesses examined for the defence Accused:

    DW.1 : Smt.Shivagami

    Documents Ex.ed for the defence Accused:-

    Nil

    (Dhanalakshmi. R)
    XII Addl. CJM., Bengaluru.
    35
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    KABC030210292022
    CC.8301/2022

    10.07.2026



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