The genesis of the litigation in the present case is that a companyplaint under Section 138 of the Negotiable Instruments Act, 1881 was filed by the companyplainant before the XII Magistrate, Bangalore.
The cheque was for Rs.5 lakhs only, bearing No.822408.
This order of the learned Magistrate was challenged in the appeal before the Fast Track Court, Bangalore, but the same was dismissed by the Fast Track Court.
This cheque was presented by the companyplainant on the same day through his banker Vijaya Bank, Yeshwantpur Branch, Bangalore.
The learned Magistrate had, after trial, found the defendant guilty and sentenced her to pay Rs.5,55,000/ and in default of payment of the said amount, to undergo simple imprisonment for a period of five months.
The defendants case is that the alleged cheque was given to the companyplainant in the year 1999 as security against loan of Rs.5 lakhs taken then.
Thereafter, the companyplainant issued a legal numberice to the defendant on 27 01 2007, at the office address as well as residential address of the defendant.
The numberice sent at the residential address through RPAD was duly received, while the one sent at the office address of the defendant was returned with the report Absent Information delivered.
Even after the numberice was served, the defendant neither made the payment number responded to the same.
The defendant preferred a revision of the Fast Track Courts order before the High Court, being Criminal Revision Petition No.263/2011.
After the defendant paid the loan, the companyplainant did number return the said cheque saying that he had misplaced it.
The Trial Court found the defendant guilty under Section 138 of Negotiable Instruments Act and sentenced her to pay a fine of Rs.5,55,000/ , in default of payment, she was to undergo simple imprisonment for five months.
But the cheque was returned on 18 01 2007 by the Bank with the remarks Stop Payment.
On repeated requests made by the companyplainant, the defendant on 16 01 2007, gave a cheque for Rs.5 lakhs, bearing No.822408, drawn on State Bank of Mysore, Vyalikaval Branch, Bangalore.
The case of the companyplainant is that he is the owner of the Ullas Theatre situated at Yashwantpur, Bangalore, while the defendant is the distributor of films.
In May 2006, the defendant sought a loan of Rupees Five Lakhs from the companyplainant for supporting the making of a Tamil movie Pokari.
The defendant alleges that the companyplainant, due to ill will in release of the movie Pokari, used this old cheque to take revenge against the defendant firm.
The two parties had a business relationship whereunder the defendant provided movies to the companyplainant for screening at his Theatre.
The defendants husband had denied to release the film in the companyplainants theatre on the ground that at the time of the release of the said movie, another Kannada movie was being shown there and it companyld have been a sensitive matter.
Pinaki Chandra Ghose, J. Leave granted.
This appeal, by special leave, arises from the judgment and order dated 22 07 2011 passed by the High Court of Karnataka in Criminal Revision Petition No.263/2011 by which the High Court set aside the judgments of the two Courts below and acquitted the respondent herein.
