Balasubramani vs Dhandapani on 17 July, 2026

    0
    7
    ADVERTISEMENT

    Madras High Court

    Balasubramani vs Dhandapani on 17 July, 2026

                                                                                 CRL RC No. 975 of 2026
    
    
                                      IN THE HIGH COURT OF JUDICATURE AT MADRAS
                                                       DATED: 17-07-2026
                                                           CORAM
                                       THE HON'BLE MR.JUSTICE SHAMIM AHMED
                                                  CRL RC No. 975 of 2026
                                                          and
                                              CRL MP No.12322 & 12320 of 2026
    
    
                     Balasubramani
                                                                                      ..Petitioner(s)
                                                              Vs
                    Dhandapani
    
                                                                                   ..Respondent(s)
    
    
                    Prayer: To call for the records relating to the Judgment dated 11.12.2025 passed
                    in Crl.A.No.50 of 2024 on the file of the Learned Additional Sessions Judge,
                    Krishnagiri confirming the Judgment dated 05.08.2024 passed in STC.No.222
                    of 2022 on the file of the Learned Judicial Magistrate No.I, Krishnagiri set aside
                    the said Judgments and consequently acquit the petitioner of the Charge u/s.138
                    of the NI Act, and ass such further or other orders.
    
    
    
    
                                  For Petitioner(s):       Mr. M.Sudhan
    
                                  For Respondent(s):       Mr. V Srihari
    
    
    
    
                                                                                           __________
                                                                                           Page1 of 12
    https://www.mhc.tn.gov.in/judis
                                                                                 CRL RC No. 975 of 2026
    
    
                                                          ORDER
    

    This Criminal Revision Case has been filed under Section 397 read with

    Section 401 of the Code of Criminal Procedure, challenging the judgment dated

    SPONSORED

    11.12.2025 passed by the learned Additional Sessions Judge, Krishnagiri in

    C.A.No.50 of 2024, confirming the judgment of conviction and sentence dated

    05.08.2024 passed by the learned Judicial Magistrate No.I, Krishnagiri in

    S.T.C.No.222 of 2022, whereby the petitioner was convicted for the offence

    under Section 138 of the Negotiable Instruments Act, 1881 and sentenced to

    undergo one year Simple Imprisonment and to pay a fine of Rs.12,00,000/-, in

    default to undergo two months Simple Imprisonment.

    2.Heard Mr. M.Sudhan, learned counsel appearing for the petitioner and

    Mr. V. Srihari, learned counsel appearing for the respondent.

    3.The respondent/complainant initiated proceedings under Section 138 of

    the Negotiable Instruments Act alleging that the petitioner and the respondent

    were known to each other for several years and, taking advantage of the said

    acquaintance, the petitioner approached the respondent seeking financial

    assistance for clearing certain debts and meeting his business commitments.

    It was the specific case of the respondent that, believing the representation made

    by the petitioner, he advanced a sum of Rs.12,00,000/- as hand loan on

    12.11.2021. Towards discharge of the said liability, the petitioner issued cheque

    __________
    Page2 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    bearing No.259768 dated 14.12.2021 for a sum of Rs.12,00,000/- drawn on

    ICICI Bank, Dharmapuri Branch.

    4.When the said cheque was presented for collection, the same was

    returned unpaid with the endorsement “Insufficient Funds”. Thereafter, the

    respondent issued a statutory notice dated 24.12.2021 calling upon the petitioner

    to pay the cheque amount. The said notice was admittedly served on the

    petitioner. However, the petitioner neither issued any reply denying the

    transaction nor complied with the demand made in the notice. Hence, the

    respondent proceeded to file a complaint under Section 138 of the Negotiable

    Instruments Act before the learned Judicial Magistrate No.I, Krishnagiri.

    5.During the course of trial, the respondent examined himself as PW1 and

    examined one Ranganathan as PW2. The cheque, bank return memo, statutory

    notice and other connected documents were marked on the side of the

    respondent. The petitioner did not dispute the signature found in the cheque or

    that the cheque belonged to his bank account.

    6.The defence of the petitioner was that he had not borrowed any amount

    of Rs.12,00,000/- from the respondent and that the cheque in question was not

    issued towards discharge of any legally enforceable debt. According to the

    petitioner, the cheque was issued only as a security in connection with a loan of

    __________
    Page3 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    Rs.2,00,000/- allegedly obtained from a finance concern situated at Palacode

    and the same was subsequently misused by the respondent.

    7.Upon appreciation of the oral and documentary evidence, the learned

    Judicial Magistrate No.I, Krishnagiri, by judgment dated 05.08.2024, found the

    petitioner guilty for the offence under Section 138 of the Negotiable

    Instruments Act and sentenced him as stated above.

    8.Aggrieved by the same, the petitioner preferred C.A.No.50 of 2024

    before the learned Additional Sessions Judge, Krishnagiri. The learned

    Appellate Judge, after independently re-appreciating the evidence available on

    record, confirmed the conviction and sentence imposed by the trial Court and

    dismissed the appeal by judgment dated 11.12.2025.

    9.Challenging the concurrent findings of the Courts below, the present

    Criminal Revision Case has been filed.

    10.Learned counsel appearing for the petitioner submitted that the

    judgments of the Courts below are contrary to law and evidence. It was

    contended that the respondent failed to establish the existence of a legally

    enforceable debt of Rs.12,00,000/-; that the alleged loan transaction was a cash

    transaction without any supporting document; that the financial capacity of the

    __________
    Page4 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    complainant to advance such a huge amount was not established; and that no

    bank records, income tax returns or other financial materials were produced.

    11.Learned counsel further submitted that the defence of the petitioner

    that the cheque was issued only as a security in connection with a loan obtained

    from a finance concern at Palacode was a probable defence sufficient to rebut

    the presumption under Sections 118 and 139 of the Negotiable Instruments Act.

    Reliance was placed upon the judgments of the Hon’ble Supreme Court in John

    K. Abraham v. Simon C. Abraham, APS Forex Services Pvt. Ltd. v. Shakti

    International Fashion Linkers, Rangappa v. Sri Mohan, Basalingappa v.

    Mudibasappa, Kumar Exports v. Sharma Carpets, M.S. Narayana Menon v.

    State of Kerala and Krishna Janardhan Bhat v. Dattatraya G. Hegde.

    12.Per contra, learned counsel appearing for the respondent submitted

    that the petitioner has admitted the issuance of the cheque and the signature

    thereon. Once execution of the cheque is admitted, the statutory presumptions

    under the Negotiable Instruments Act operate in favour of the respondent. It

    was submitted that the petitioner failed to rebut the presumption by producing

    any acceptable evidence and that the concurrent findings of the Courts below do

    not warrant interference in revisional jurisdiction.

    __________
    Page5 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    13.This Court has considered the rival submissions and perused the

    materials available on record.

    14.At the outset, it is to be noted that the scope of revisional jurisdiction

    under Sections 397 and 401 Cr.P.C. is limited. This Court is not required to

    undertake a re-appreciation of evidence as an appellate Court unless the

    findings recorded by the Courts below are shown to be perverse, illegal or

    resulting in miscarriage of justice.

    15.In the present case, the petitioner has admitted that the cheque belongs

    to his account and the signature contained therein is his signature. Once the

    execution of the cheque is admitted, the statutory presumptions under Sections

    118(a) and 139 of the Negotiable Instruments Act arise in favour of the holder

    of the cheque. Such presumption includes the existence of a legally enforceable

    debt or liability.

    16.Though the accused is entitled to rebut the statutory presumption by

    raising a probable defence, such defence must be supported by acceptable

    materials. A mere suggestion during cross-examination or a bald statement

    without any supporting evidence would not be sufficient to rebut the

    presumption.

    __________
    Page6 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    17.In the present case, the specific defence of the petitioner is that the

    cheque was issued as security for a loan obtained from a finance concern at

    Palacode. However, no material whatsoever has been produced by the petitioner

    to substantiate such defence. The name of the finance concern, the alleged loan

    documents, repayment details or any witness connected with the said

    transaction have not been brought on record.

    18.Further, though the statutory notice was admittedly received by the

    petitioner, he did not choose to issue any reply denying the alleged transaction

    or explaining that the cheque was issued only as security. The said conduct is

    certainly a relevant circumstance while appreciating the defence raised by the

    petitioner during trial.

    19.The contention regarding the financial capacity of the complainant

    also does not persuade this Court. The complainant entered the witness box and

    subjected himself to cross-examination. Both the Courts below have considered

    his evidence and found the same to be reliable. The absence of income tax

    records or bank statements, by itself, would not demolish the statutory

    presumption available in favour of the complainant, particularly when the

    defence of the petitioner has not been probabilised.

    __________
    Page7 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    20.The decisions relied upon by the learned counsel for the petitioner

    reiterate the settled position that the presumption under Section 139 of the

    Negotiable Instruments Act is rebuttable and that the accused can discharge the

    burden by establishing a probable defence. However, in the present case, the

    petitioner has failed to place any acceptable material to rebut the statutory

    presumption.

    21.This Court also finds that the learned Appellate Court has

    independently considered the evidence and confirmed the findings of the trial

    Court by assigning proper reasons. The concurrent findings recorded by both

    the Courts below are based on evidence available on record and do not suffer

    from any perversity or illegality warranting interference.

    22.It is also relevant to record that, pending the present revision, the

    petitioner filed Crl.M.P.No.7763 of 2026 seeking suspension of sentence. This

    Court, by order dated 30.04.2026, considering the submissions made on behalf

    of the petitioner, suspended the sentence imposed on him subject to certain

    conditions.

    23.One of the specific conditions imposed by this Court under Condition

    No.5(i) of the said order was that the petitioner shall deposit the entire cheque

    amount of Rs.12,00,000/- before the trial Court as a condition for suspension of

    __________
    Page8 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    sentence. The said condition was imposed taking note of the submission made

    by the petitioner that he was willing to deposit the cheque amount to

    demonstrate his bona fides.

    24.However, the petitioner has admittedly failed to comply with the said

    condition and has not deposited the amount as directed by this Court. Having

    obtained the benefit of suspension of sentence based upon his undertaking, the

    petitioner cannot be permitted to disregard the condition imposed by this Court.

    The conduct of the petitioner in not complying with Condition No.5(i) is also a

    relevant circumstance while considering the relief sought by him.

    25.This Court, while considering the present revision, has independently

    examined the merits of the case and has found that the petitioner has failed to

    establish any ground warranting interference with the concurrent findings of the

    Courts below. The non-compliance of the conditional order passed in

    Crl.M.P.No.7763 of 2026 further disentitles the petitioner from claiming any

    discretionary relief.

    26.In view of the foregoing discussions, this Court finds no reason to

    interfere with the judgment dated 11.12.2025 passed by the learned Additional

    Sessions Judge, Krishnagiri in C.A.No.50 of 2024 confirming the judgment

    dated 05.08.2024 passed by the learned Judicial Magistrate No.I, Krishnagiri in

    __________
    Page9 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    S.T.C.No.222 of 2022.

    27.Accordingly, the Criminal Revision Case stands dismissed. The

    judgment dated 11.12.2025 passed in C.A.No.50 of 2024 on the file of the

    learned Additional Sessions Judge, Krishnagiri, confirming the judgment dated

    05.08.2024 passed in S.T.C.No.222 of 2022 on the file of the learned Judicial

    Magistrate No.I, Krishnagiri, is hereby confirmed.

    28.In view of the dismissal of the revision petition and the failure of the

    petitioner to comply with Condition No.5(i) imposed in the order dated

    30.04.2026 in Crl.M.P.No.7763 of 2026, the suspension of sentence granted by

    this Court shall stand vacated.

    29.Consequently, connected miscellaneous petitions are closed. There

    shall be no order as to costs.

    30.The learned Judicial Magistrate No.I, Krishnagiri, shall take

    immediate and appropriate steps in accordance with law to secure the presence

    of the petitioner/accused to undergo the remaining period of sentence and to

    recover the compensation amount, if any.

    __________
    Page10 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    31.The Registry is directed to forthwith transmit a copy of this order to

    the learned Additional Sessions Judge, Krishnagiri and the learned Judicial

    Magistrate No.I, Krishnagiri, for information and necessary compliance.

    17-07-2026
    Index: Yes/No
    Speaking/Non-speaking order
    Neutral Citation: Yes/No

    SHA

    To

    1.The Additional Sessions Judge, Krishnagiri.

    2.The Judicial Magistrate No.I, Krishnagiri.

    3.The Public Prosecutor, Madras High Court.

    __________
    Page11 of 12
    https://www.mhc.tn.gov.in/judis
    CRL RC No. 975 of 2026

    SHAMIM AHMED, J.

    SHA

    CRL RC No. 975 of 2026

    17-07-2026

    __________
    Page12 of 12
    https://www.mhc.tn.gov.in/judis



    Source link

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here