Rajamani Alias Rajeshwari vs Selvam C on 3 July, 2026

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    Bangalore District Court

    Rajamani Alias Rajeshwari vs Selvam C on 3 July, 2026

    SCCH-6                         1                CC No.350/2024
    
    
    KABC020013902024
    
    
    
    
             IN THE COURT OF ADDL. CHIEF JUDICIAL
                 MAGISTRATE, BENGALURU CITY.
                           (SCCH-6)
             Present:   Smt. Chetana S.F.
                                            B.A., L.L.B.,
                        IV Addl., Small Cause Judge & ACJM,
                        Court of Small Causes,
                        Bengaluru.
                         CC. No.350/2024
    
             DATED THIS THE 3rd DAY OF JULY, 2026
    
    COMPLAINANT/S           Smt. Rajamani @ Rajeshwari,
                            Aged about 72 years,
                            W/o C.Devendran,
                            residing at No.44, 2nd Cross,
                            3rd Main, Prakashnagara,
                            Bengaluru-560021
    
                            (By Sri Sabarish Gandhi S. - Advocate)
                            -Vs-
    
    ACCUSED                 Sri Selvam C,
                            Aged about 42 years,
                            S/o Chandrababu,
                            No.54, 31st Main,
                            Someshwaranagar,
                            BTM 2nd Stage,
                            Bengaluru-560068.
    
                            Also at;
                            No.11/16, 14th Cross,
     SCCH-6                         2                CC No.350/2024
    
    
                             4th Main, L.N.Puram,
                             Bengaluru-560021.
    
                             (By Sri. Shridhara K.- Advocate)
    
    
                        -: J U D G M E N T :-
    
         This is a complaint filed by the complainant U/Sec.138
    
    of the N.I. Act and Sec.200 R/w Sec.190 of Cr.P.C.1973 for
    
    the offences punishable under Secs.138 of the N.I. Act as
    
    against the accused praying to punish the accused for the
    
    said offence.
    
        2.    The case of the complainant is that, accused and
    
    his family members were known to complainant from many
    
    years.    Accused mother Smt.Saroja started a chit for
    
    Rs.4,00,000/- at complainant's home in the year 2015 by
    
    collecting monthly payments from many subscribers who
    
    were residents of the same locality. The father of the accused
    
    Shri. Chandrababu and his few relatives were also been
    
    subscribers to the said chit. Accordingly, Complainant and
    
    his mother conducted chit business for from many years
    
    before, the complainant agreed to subscribe to the chit.
     SCCH-6                          3                  CC No.350/2024
    
    
    Accordingly, the complainant         subscribed five chits of
    
    Rs.4,00,000/- each in her name and she collectively paying
    
    a sum of Rs.62,500/- per month towards the said five chits.
    
    Out of the five chits subscribed the complainant drew three
    
    chits and distributed   to her friends their money       and she
    
    continued   with    remaining       two   chits.   Complainant
    
    approached accused mother Smt. Saroja and requested her
    
    to return Rs.8,00,000/- for both chits but the said Saroja
    
    and father Chandrababu and brother Naveen assured that
    
    they will settle the money to her after three months as they
    
    need some time to arrange the money. After three months
    
    the complainant did not get her money then when she went
    
    to the house of accused, his mother brother dialed to the
    
    police control room and all were called to the Rajajinagar
    
    Police and they recorded the statement of Smt. Saroja and
    
    she assured that she will return due amount to complainant
    
    by 25.01.2021. Accused and his brother met the complainant
    
    and assured her that they will return Rs.8,00,000/- which is
    
    due from Saroja and as a security towards the said two chits,
     SCCH-6                        4               CC No.350/2024
    
    
    accused brother Elayaraja issued undated cheque for
    
    Rs.50,000/-. At the same time accused also issued one
    
    undated cheque for Rs.7,50,000/- bearing No.427159 drawn
    
    on IDBI Bank, Dr. Rajkumar Road, Rajajinagar Branch in
    
    favour of complainant with an assurance that they will
    
    arrange and settle her money in full and take back the two
    
    cheques. But accused and his brother did not settle the said
    
    money. Once again complainant, his son and daughter went
    
    to the accused house and demanded the money but Smt.
    
    Saroja mother approached the Rajajinagar Police and lodged
    
    false complaint against complainant. An NCR was registered
    
    against the complainant and her family. After recording the
    
    complainant's statement the matter was closed. Accused and
    
    his brother against met the complainant and sought for six
    
    months to return the said money, but they did not keep their
    
    promise and accused relocated to a different place without
    
    disclosing his whereabouts. On 17.07.2023 complainant and
    
    his son confronted the accused and his father in the
    
    premises of City Civil Court, Bengaluru when accused came
     SCCH-6                                5                 CC No.350/2024
    
    
    to attend his case and whenever the complainant saw Smt.
    
    Saroja in the locality and demanded the money it elicited no
    
    response.
    
        3.      Without any other option, on 02.08.2023 the
    
    complainant presented the cheque bearing No.427159 drawn
    
    on IDBI Bank, Dr. Rajkumar Road, Rajajinagar Branch for
    
    Rs.7,50,000/-       through     her       banker    Cananra     Bank,
    
    Rajajinagar 2nd Block, Bengaluru but the same was returned
    
    dishonored on 03.08.2023 with the remark " Payment
    
    stopped by Drawer".      Hence, the complainant issued legal
    
    notice dated 01.09.2023 to the accused through RPAD and
    
    the same was duly served on 12.09.2023. Inspite of service
    
    of notice, the accused has not paid the cheque amount and
    
    hence, he has committed an offence punishable u/s 138 of
    
    NI Act. Hence, this complaint.
    
        4.      After   recording   the       sworn    statement   of   the
    
    complainant by way of affidavit and also verifying the
    
    documents, cognizance was taken against the accused for
    
    the offence punishable under Sec.138 of N.I. Act. The
     SCCH-6                         6               CC No.350/2024
    
    
    accused appeared before this Court through his counsel and
    
    enlarged on bail and his plea was recorded. The accused
    
    pleaded not guilty and claimed to be tried. Hence, the case
    
    was posted for evidence of the complainant.
    
        5.     The complainant got examined herself as PW.1 and
    
    got marked 12 documents as Exs.P.1 to Ex.P.12. During
    
    cross examination of DW.1, learned counsel for complainant
    
    got marked Ex.P13 and Ex.P14 through confrontation.
    
    Thereafter, the case was posted for recording the statement
    
    of accused under Sec.313 of Cr.P.C. In the statement U/s.
    
    313 Cr.P.C., the accused has denied all the incriminating
    
    evidence appearing against him.    On the other hand, the
    
    accused examined himself as DW.1 and got marked two
    
    documents as Ex.D1 and Ex.D2.
    
        6.     The learned counsel for accused has relied on the
    
    following citations:
    
                 1.

    (2021) 1 AIR KarR 600 between Bidar Urban
    Co-operative Bank Ltd. vs. Girish

    2. Crl. Appeal No.545/2010 between K.V. Subba
    Reddy vs. N. Raghava Reddy

    SCCH-6 7 CC No.350/2024

    SPONSORED

    3. Crl. Appeal No.1020 of 2010 between
    Rangappa vs. Sri Mohan

    4. 2022 LiveLaw (SC) 979 between Jain P. Jose
    vs. Santosh & Anr
    .

    7. Heard the arguments of both side and Perused the

    records.

    8. The following points arise for my consideration:

    1. Whether the complainant proves that the
    cheque for Rs.7,50,000/- bearing
    No.427159 dated 01.08.2023 drawn on
    IDBI Bank, Dr. Rajkumar Road,
    Rajajinagar Branch, Bengaluru, issued by
    the accused has been dishonored ” Payment
    stopped by Drawer” on 03.08.2023 and even
    after receiving the intimation regarding the
    dishonor of cheque failed to pay the cheque
    amount within the stipulated period and
    thereby the accused has committed an
    offence punishable under Sec.138 of N.I. Act?

    2. What order?

    9. My findings on the above points are as under

    Point No.1: In the Affirmative
    Point No.2: As per final order for the
    following:

    SCCH-6 8 CC No.350/2024

    -: R E A S O N S :-

    10. POINT NO.1:- In view of the present legal position

    as held by our Hon’ble High Court as well as Apex Court of

    India in a catena of decisions as well as relevant

    provisions of the Act, this court has to see whether the

    complainant has complied all the requirements as

    contained in Sec.138 of NI Act so as to bring home the

    guilt of the accused for the alleged offence. If so,

    whether the accused is able to rebut the legal

    presumption available to the complainant under Sec.139

    of the Act by adducing probable defense or not. However,

    it is held by the full bench of our Apex Court in the case

    of Rangappa Vs. Mohan reported in 2010 (1) DCR 706

    that;

    “The Statutory presumption mandated by
    sec.139 of the Act, does indeed include
    the existence of a legally enforceable debt
    or liability. However, the presumption U/S
    139 of the Act is in the nature of a rebut-
    table presumption and it is open for the
    accused to raise a defence wherein the ex-

    SCCH-6 9 CC No.350/2024

    istence of a legally enforceable debt or lia-
    bility can be contested”.

    11. Therefore, in view of the above decision, once the

    cheque is admitted, the statutory presumption would

    automatically fall in favour of the complainant the

    complainant that, the alleged cheque was issued for

    discharge of an existing legally enforceable debt or liability

    against the accused and the burden will shift on to the

    accused to rebut the same.

    INGREDIENTS OF OFFENCE AND DISCUSSION:-

    12. Before dwelling into the facts of the present case, it

    would be apposite to discuss the legal standards required to

    be met by both sides. In order to establish the offence under

    Section 138 of NI Act, the prosecution must fulfill all the

    essential ingredients of the offence. Perusal of the bare

    provision reveals the following necessary ingredients of the

    offence:-

    First Ingredient: The cheques were
    drawn by a person on an account
    maintained by him for payment of
    SCCH-6 10 CC No.350/2024

    money and the same is presented
    for payment within a period of 3
    months from the date on which it is
    drawn or within the period of its
    validity;

    Second Ingredient: The cheques
    were drawn by the drawer for
    discharge of any legally enforceable
    debt or other liability;

    Third Ingredient: The cheques were
    returned unpaid by the bank due to
    either insufficiency of funds in the
    account to honour the cheque or
    that it exceeds the amount arranged
    to be paid from that account on an
    agreement made with that bank;

    Fourth Ingredient: A demand of the
    said amount has been made by the
    payee or holder in due course of the
    cheque by a notice in writing given
    to the drawer within thirty days of
    the receipt of information of the
    dishonour of cheque from the bank;

    Fifth Ingredient: The drawer fails to
    make payment of the said amount of
    money within fifteen days from the
    date of receipt of notice.

    APPRECIATION OF EVIDENCE-

    13. The accused can only be held guilty of the offence

    under Section 138 NI Act if the above-mentioned ingredients
    SCCH-6 11 CC No.350/2024

    are proved by the complainant co-extensively. Additionally,

    the conditions stipulated under Section 142 NI Act have to be

    fulfilled. Notably, there is no dispute at bar about the proof of

    only first, third, and fifth ingredient. The complainant had

    proved the original cheque vide Ex.P.1 which the accused

    person had not disputed as being drawn on the account of

    the accused. It was not disputed that the cheque in question

    was presented within its validity period. The cheque in

    question was returned unpaid vide return memo vide Ex.P.2

    due to the reason, ” Payment stopped by Drawer” dated

    03.08.2023. The complainant had proved the service of legal

    demand notice dated 01.09.2023 vide Ex.P.3. Postal receipts

    vide Ex.P4 and 5. Track consignment vide Ex.P6. Certificate

    under Sec.65-B of Indian Evidence Act vide Ex.P7. Returned

    Postal cover and the notice inside the postal cover vide Ex.P8

    and Ex.P8(a). complaint dated 15.03.2021 given to the police

    vide Ex.P9. Police acknowledgment vide Ex.P10. complaint

    dated 25.01.2023 given to the police vide Ex.P11. Statement

    of Saroja vide Ex.P12. Order sheet and evidence in CC
    SCCH-6 12 CC No.350/2024

    No.1251/2023 vide Ex.P13. Bank returned memo in CC

    No.1251/2023 vide Ex.P14. Thus, there is a dispute only

    with regard to the second ingredient to the offence. As such,

    the 1st,3rd,4th& 5th ingredient of the offence under section

    138 of the NI Act stands proved.

    14. As far as the proof of second ingredient is

    concerned, the complainant has to prove that the cheque in

    question was drawn by the drawer for discharging a legally

    enforceable debtor any liability. In the present case, the

    issuance of the cheque in question is not denied. As per the

    scheme of the NI Act, once the accused admits signature on

    the cheque in question, certain presumption are drawn,

    which result in shifting of onus. Section 118(a) of the NI Act

    lays down the presumption that every negotiable instrument

    was made or drawn for consideration. Another presumption

    is enumerated in Section 139 of NI Act. The provision lays

    down the presumption that the holder of the cheque received

    it for the discharge, in whole or part, of any debt or other

    liability.

    SCCH-6 13 CC No.350/2024

    15. The combined effect of these two provisions is a

    presumption that the cheque is drawn for consideration and

    given by the accused for the discharge of debt or other

    liability. Both the sections use the expression “shall”, which

    makes it imperative for the court to raise the presumptions

    once the foundational facts required for the same are proved.

    Reliance is placed upon the judgment of the Hon’ble Supreme

    Court, Hiten P. Dalal vs. Bratindranath Banerjee (2001) 6

    SCC 16.

    16. Further, it has been held by a three-judge bench of

    the Hon’ble Apex Court in the case of Rangappa vs. Sri

    Mohan (2010) 11 SCC 441 that the presumption

    contemplated under Section 139 of NI Act includes the

    presumption of existence of a legally enforceable debt. Once

    the presumption is raised, it is for the accused to rebut the

    same by establishing a probable defence.

    17. The presumptions raised under Section 118(b) and

    Section 139 NI Act are rebuttable presumptions. A reverse

    onus is cast on the accused, who has to establish a probable
    SCCH-6 14 CC No.350/2024

    defence on the standard of preponderance of probabilities to

    prove that either there was no legally enforceable debt or

    other liability. In this case, the arguments raised by the Ld.

    counsel for the accused to rebut the presumption are

    discussed below:

    First defence: Notice not served

    18. The accused has taken the contention that notice

    has not been served to him and as such no cause of action

    arose to file the complaint against him. But, in this regard,

    learned counsel for complainant cross examined DW.1

    wherein DW.1 admitted that, he was running CNC Factory in

    the second address mentioned in the cause title of the

    complaint. But, it was closed in the year 2019. Further DW.1

    was confronted with Order sheet and deposition in CC

    N.1251/2021, it was admitted by the accused and was

    marked as Ex.P13 wherein accused in his affidavit evidence

    mentioned the address of his CNC Factory i.e., 2 nd address in

    the cause title of the present case in the year 2023. Further

    DW.1 was confronted with Bank return memo dated
    SCCH-6 15 CC No.350/2024

    31.01.2019, it was admitted by the accused and was marked

    as Ex.P14 wherein address mentioned as Someshwaranagar,

    BTM 2nd Stage. Further DW.1 clearly admitted 1 st address

    mentioned in the cause title of the present case is same

    address mentioned in Ex.P14. Thus accused has clearly

    admitted both the address mentioned in the cause title as his

    address. It is pertinent to note here that accused has not

    denied the address to which the notice has been sent. When

    accused has not denied the address to which the notice has

    been sent as per Sec.114(f) of Indian Evidence Act, all official

    acts are duly performed, accordingly it may be presumed that

    when the notice duly stamped correct addressed to be

    presumed that it has been duly served to the address until

    and unless the contrary is proved. Even the complainant has

    produced track consignment which clearly shows that the

    notice has been duly delivered. Even the summons to the

    accused has been sent to the same address has been duly

    served to the accused. Hence for the sake of the defence, the

    notice has been duly served.

    SCCH-6 16 CC No.350/2024

    19. In this regard this court relying upon the decision in

    the case between Alavi Haji V/s. Palapetty Mohammed and

    another, wherein the Hon’ble court held that Unless and until

    the contrary is proved by the addressee, service of notice is

    deemed to have been effected at the time at which the letter

    would have been delivered in the ordinary registered post and

    is returned with a postal endorsement ‘refused’ or not available

    in the house or house locked or shop closed or addressee not in

    station. Due service has to be presumed.

    20. Moreover, in this regard, it has been held by
    the Hon’ble Apex Court in the case of M/S Indo
    Automobiles Vs. M/S. Jaidurga Enterprises reported in
    2008 (2) DCR 499 and also as provided under Sec.27 of
    the Mysore general clauses Act, 1897. When a notice is sent
    to the correct address of the addressee, even if the same is
    returned unserved due absence or non-claiming or refusal of
    the addressee, the same amounts to deemed service.
    Moreover, the very purpose of giving statutory notice to
    provide an opportunity to the accused/drawer to make
    payment of the cheque amount and escape from the
    criminal prosecution. The non-service of the notice would be
    ground only in the case of the accused admitting the
    SCCH-6 17 CC No.350/2024

    liability under the cheque and pleading only exemption from
    the criminal prosecution for non payment of the cheque
    amount. Thus this defence of the accused is of no
    consequence in the present case as he is totally denying the
    liability under the said cheque.

    21. In the present case the notice has been sent to the

    correct address of the accused as admitted by the accused

    himself and even postal cover with the endorsement is

    produced to show that the notice has been duly intimated to

    him and served on him. As such the statutory demand

    notice is held to have been duly served on the accused.

    Hence defence taken by the accused that notice not served

    him does not holds good. Thus it appears that accused only

    for the sake of the defence has taken the above said defence.

    Thus notice has been duly served to the accused.

    Second defence: Financial capacity

    22. The learned counsel for accused cross examined

    PW.1 with regard to her occupation and income wherein

    PW.1 deposed that she was selling sarees of the temple and

    she used to purchase the sarees from the temple on tender
    SCCH-6 18 CC No.350/2024

    basis and thereafter she used to sell the same to the public.

    Except that accused counsel has not at all questioned about

    any income or the financial capacity of the PW.1. Further it

    was argued by the accused counsel that there was no

    financial transaction and chiti transaction between

    complainant and accused at any point of time. Even PW.1

    admitted this fact and hence accused is not liable to pay any

    cheque amount.

    23. In this regard, learned counsel for accused cross

    examined PW.1 at length wherein PW.1 clearly stated that

    the mother of the accused was doing the chit business and

    her sisters Jamuna, Radha and her daughter Latha, Girija

    and she has subscribed for the chit and paying the chit

    amount regularly. Further learned counsel for accused cross

    examined PW.1 with regard to the details of the chit business

    wherein PW.1 stated that she did not remember how many

    months she paid the amount, but, PW.1 stated that she has

    paid entire chit amount till the end of the chit period for the

    PW.1 stated that she used to pay Rs.62,500/- every month
    SCCH-6 19 CC No.350/2024

    totally she has paid Rs.20,00,000/-. Further PW.1 stated

    that she do not remember the month and year when the chit

    was commenced and when the chit was closed.

    24. Even when it was questioned that whether any

    document to show that there is a chit transaction between

    complainant and accused’s mother, PW.1 stated that she has

    no document, but, in respect of that the mother of the

    accused Sarojamma has given statement before the police

    station with regard to chit transaction with her. Further it

    was specifically questioned whether the chit business was

    started in the year 2015 and end in the year 2018, PW.1

    stated that she do not remember the same. It is pertinent to

    note here that nowhere accused counsel or the accused

    denied the chit transaction between his mother and the

    complainant. Even nowhere accused denied that

    complainant used to pay the chit amount of Rs.62,500/-

    every month and complainant has paid Rs.20,00,000/-

    towards chit to his mother Sarojamma at least by putting a

    single denial suggestion.

    SCCH-6 20 CC No.350/2024

    25. Further accused himself by putting the suggestion

    that in the year 2021 there was a dispute and difference of

    opinion between accused and his mother and the

    complainant in the year 2021 which was admitted by the

    PW.1. Further accused counsel suggested that on

    25.01.2021 the father of the accused has lodged complaint

    against son of the complainant before Rajajinagar police

    station for which, PW.1 stated that when she and her son

    went to the accused house to ask for return of the chit

    amount, accused father has lodged false complaint against

    her and her son. Even accused counsel himself suggested

    that as per Ex.P9, on 15.03.2021 the mother of the accused

    has lodged the complaint against the complainant and her

    son and her daughter for which, Pw.1 stated that when they

    went to ask for the chit amount, accused mother has filed

    the false complaint against them.

    26. Further when it was specifically questioned why the

    complainant has not lodged any complaint against accused

    mother PW.1 stated that as her daughter was unmarried and
    SCCH-6 21 CC No.350/2024

    hence she did not choose to lodge the police complaint and

    this fact is not at all denied by the accused counsel.

    27. Further PW.1 in her cross-examination at para No.10

    clearly stated that in the police station after enquiry, accused

    acknowledged and agreed to pay the amount liable by his

    mother to the complainant towards chit amount and has

    issued the cheque in question to the complainant. Even PW.1

    stated that accused and his brother have issued the cheque

    to the complainant by saying that the complainant should

    not ask the chit amount from her mother. It is pertinent to

    note here that this fact deposed by the PW.1 in her cross-

    examination has not at all been denied by the accused

    counsel.

    28. The accused only further went posing the question

    that whether PW.1 remember the date when cheque was

    given for which, PW.1 stated that when there was quarrel

    between complainant and accused mother with regard to the

    chit amount, at that time accused has issued the cheque.

    But he did not remember the specific date. Even this fact has
    SCCH-6 22 CC No.350/2024

    not been denied by the accused. Thus accused has not

    denied liability of his mother to pay the cheque amount to

    the complainant. Even accused has not at all denied

    issuance of the cheque on behalf of his mother towards her

    liability to the complainant specifically. Thus complainant

    has established the existence of the liability and issuance of

    the cheque and the signature in the cheque.

    29. Though accused has taken the specific defence with

    regard to passing of the cheque into the hands of the

    complainant that complainant used to come to the house of

    the accused regularly at that time, complainant has taken

    the cheque of the accused without notice of the accused and

    filled up the cheque and presented the cheque to the bank

    and hence acused is not liable to pay any amount to the

    complainant and has filed this false complaint. Even in the

    defence evidence, accused has taken the defence that he

    used to give the cheque in his house for house expenditure

    and at that time, complainant used to come to their house

    has taken the cheque and filed this false case. But, in the
    SCCH-6 23 CC No.350/2024

    cross-examination of DW.1 at para No.7when specifically

    questioned whether he has given the complaint about theft of

    his cheque, Dw.1 stated that he did not know whether

    complainant has stolen his cheque or not, but, the said

    cheque has been misplaced. Thus accused himself is not

    sure whether his cheque was stolen by complainant or not

    from his house or not. Thus when accused himself is not

    sure about the cheque stolen by complainant, then the

    defence taken by the accused that complainant has taken his

    cheque whenever complainant used to come to their house

    cannot be accepted and believed.

    30. Apart from this, ordinarily no prudent man would

    keep the signed blank cheque so easily assessable to 3 rd

    party who were vising their house. Even accused has not

    lodged complaint about the theft of his cheque. When

    accused counsel is not sure about how the cheque in

    question has gone into the hands of PW-1, even Accused has

    not setup clear specific defence as to how the cheque in

    question has gone into the hands of the PW-1. Under such
    SCCH-6 24 CC No.350/2024

    circumstances the version of the complainant that in the year

    2021 when the complaint was lodged by the parents of

    accused against the complainant and there was an enquiry

    at that time accused has issued the cheque in question and

    settled the matter is clearly established.

    31. In support of his contention accused has produced

    Ex.D-1 the letter, on perusal of which the accused has given

    requisition to manager of IDBI Bank on 06-04-2026 to

    provide information about the exact date on which the “Stop

    payment” instruction was registered and processed in respect

    of Ex.P-1 cheque. Wherein the endorsement return as

    “Customer has reported to Branch as cheque No.427159 got

    lost on 02-07-2019”. Even it bears seal and signature of

    bank, but complainant has entirely denied Ex.D-1 and

    contended that, Ex.D-1 is created document. Admittedly in

    the ordinary course of proceedings of the bank now a days all

    the banks will issue typed and computer generated reply to

    any requisition, but endorsement written on Ex.D-1 alleged

    to be written by the bank manager without any supporting
    SCCH-6 25 CC No.350/2024

    documents appears to be very doubtful.

    32. Even the accused has not examined the bank official

    who has written the endorsement on Ex.D-1. Hence, Ex.D-1

    and the defence of the accused that, he has given the Stop

    payment notice in the year 2019 to Ex.P-1 cheque cannot be

    accepted and believed.

    33. Further, accused has produced Ex.D-2 lost article

    report issued by the Bengaluru City Police, dated: 24-11-

    2020 which has been downloaded by the official website of

    Bengaluru City police as per which the accused has issued

    the lost article report in respect of cheque No.427159 I.e.,

    Ex.P-1 on 24-11-2020 and has produced 65-B Certificate in

    support of the same. But, mere registering of lost article

    report itself does not prove that accused has not at all issued

    the cheque in question to the PW.1 in discharge of the

    liability of his mother.

    34. On the other hand, complainant has produced Ex.P9

    the complaint lodged by the Saroja Chandrababu mother of
    SCCH-6 26 CC No.350/2024

    the accused on 15.03.2021 and the acknowledgment given

    by the police as per Ex.P10. As per Ex.P9, mother of the

    accused has clearly admitted that she was doing the chit

    business. Even admitted that since 4-5 years complainant

    was doing the chit business with her and further as per

    Ex.P9, the said Saroja stated that PW.1 was also doing chit

    and she is liable to pay Rs.50,000/- and in that respect the

    complainant has quarreled with them. Hence she has filed

    the above said complaint.

    35. Further complainant has produced Ex.P11 complaint

    lodged by the father of the accused by name Chandrababu

    on 25.01.2021 wherein stated that the police have taken the

    statement from his wife Saroja that Saroja is liable to pay

    Rs.8,00,000/- to the complainant.

    36. Further complainant has produced Ex.P12 statement

    given by the said Saroja before the police stating on

    21.01.2021 wherein the said Saroja has clearly stated that

    she was doing chit and complainant was a subscriber of the

    chit and paying the chit amount and she was liable to pay
    SCCH-6 27 CC No.350/2024

    Rs.8,00,000/- to the complainant. Further admitted that she

    and her husband and her son will pay the said Rs.8,00,000/-

    chit amount to the PW.1 and in case of default, complainant

    is entitled to take the legal action against her. Thus from

    Ex.P12, it is clear that the mother of the accused has clearly

    admitted her liability to pay Rs.8,00,000/- to the

    complainant and she has given the statement before the

    police. This fact corroborates the case of the complainant.

    37. It is pertinent to note here that nowhere the accused

    denied the transaction between his mother and the

    complainant and specifically denied the statement Ex.P12

    given by his mother before the police station admitting her

    liability to pay Rs.8,00,000/- to the complainant at least by

    putting a single denial suggestion. Even accused has not

    examined his mother and disprove the same. Thus in view of

    the above said reasons, complainant has clearly established

    the existence of the liability of the mother of the accused for

    Rs.8,00,000/- to her and further issuance of the cheque by

    the accused on behalf of his mother. Hence the defence taken
    SCCH-6 28 CC No.350/2024

    by the accused is more improbable.

    Conclusion:

    38. In view of all the above discussions, it can be

    concluded that the complainant has established through

    cogent and convincing evidence the fact of issuance of the

    cheque for discharge of legality enforceable debt, which is

    dishonored for want of sufficient funds, Issuance of legal notice

    within stipulated time, failure on the part of accused to repay

    the amount within stipulated period. On the other hand, the

    accused has failed to rebut the presumption available to the

    complainant through probable evidences that would

    preponderate upon the evidence lead by the complainant.

    Therefore, the accused is held to have committed an offence

    punishable under Sec. 138 of N.I. Act. Accordingly, Point No.1

    is answered in the Affirmative.

    39. POINT No.2:- In view of my answer to point No.1, I

    proceed to pass the following:-

    SCCH-6 29 CC No.350/2024

    -: O R D E R :-

    Acting U/Sec.278(2) of the Bharatiya
    Nagarik Suraksha Sanhita, 2023, accused is
    hereby convicted for the offence punishable
    U/Sec.138 of Negotiable Instruments Act.

    Accused is sentenced to pay a fine of
    Rs.7,55,000/- for the offence punishable
    under section 138 of N.I.Act. The amount of
    Rs.7,50,000/- shall be paid to the
    complainant by way of compensation in
    accordance with Sec.395(1) of the Bharatiya
    Nagarik Suraksha Sanhita, 2023, within one
    month from today.

    The remaining amount of Rs.5,000/-
    shall be confiscated to the state. In default
    of payment of fine, the accused shall
    undergo simple imprisonment for a period of
    six months.

    It is made clear that in view of Sec.461 of
    BNSS, even if the accused shall undergo the
    default sentence imposed above, accused is
    not absolved of liability to pay the fine
    amount.

    SCCH-6 30 CC No.350/2024

    The bail and surety bond of the accused
    and surety shall stand canceled.

    Office to furnish the copy of this judgment
    for free of cost to the accused.
    (Dictated to the Stenographer, transcribed and computerized by her. After her
    typing, corrected, signed and then pronounced by me in open Court this the
    3rd day of July 2026).

    (CHETANA S.F.)
    IV Addl., Small Cause Judge & ACJM,
    Court of Small Causes, Bengaluru.

    ANNEXURE

    List of witnesses examined for the Complainant:

    PW.1 :- Smt. Rajamani @ Rajeshwari

    List of witnesses examined for the accused:-

    DW.1 :- Sri. Selvam

    List of documents marked for the Complainant:-

       Ex.P.1            :   Cheque
       Ex.P.1(a)         :   Signature of accused
       Ex.P.2            :   Bank Endorsement
       Ex.P.3            :   Office copy           of     Legal      Notice      dated
                             01.09.2023
       Ex.P.4 & 5        :   Postal Receipts
     SCCH-6                          31               CC No.350/2024
    
    
       Ex.P.6 & 7    :   Postal track consignment
       Ex.P.8    &   :   Returned postal cover and notice inside the
       8(a)              postal cover
       Ex.P.9        :   Complaint dated 15.03.2021 given to the
                         police
       Ex.P.10       :   Police acknowledgment
       Ex.P.11       :   Complaint dated 25.01.2023 given to the
                         police
       Ex.P.12       :   Statement of Saroja
       Ex.P.13       :   Order sheet      and    evidence    in       CC
                         No.1251/2023
       Ex.P.14       :   Bank returned memo in CC No.1251/2023
    
    

    List of documents marked for the accused:-

    
       Ex.D.1        :   A letter given to IDBI Bank with regard to
                         Stop payment notice
       Ex.D.2        :   Lost Article Report
    
    
    
    
                                        (CHETANA S.F.)
                                IV Addl., Small Cause Judge &
                                ACJM, Court of Small Causes,
                                           BENGALURU.
     



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