Order 1

Order Details: Order
Pdf Text: 1 C. C. No.1652/SS/2018
Exh.10
ORDER BELOW EXH.10
1. This is an application filed by complainant under Section
143-A of Negotiable Instrument Act with the prayer that accused be
directed to pay 20 % of cheque amount towards interim compensation
to it.
2. Brief contention of the application :
Complainant has filed present complaint under Section
138 of N.I. Act against accused for dishonoured of cheque. It is
contended that on receipt of summons accused appeared before the
court and pleaded not guilty. Therefore, complainant prays that the
accused may be directed to pay compensation amount to the
complainant. Hence, this application.
3. Accused had filed his say to the application at (Exh.27). He
has submitted that application is not maintainable. He next submits
that alleged offence has been committed before insertion of Section
143A of N.I. Act. Hence, he prayed to reject the application.
4. Heard both sides at length.
5. Perused the complaint. It is contended that complainant
knows accused. Accused was in need of finance for repayment of his
loan taken from other persons for his business. Accused approached to
the husband of complainant and on request of accused, family members
of complainant provided total amount of Rs.3,70,000/- to him from
time to time. Husband of complainant told accused to return said
amount. Thereafter, accused issued disputed cheques in their favour.
The cheques were presented for encashment but they were dishonoured
on with remark ‘Funds Insufficient’. After dishonour of cheques,
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2 C. C. No.1652/SS/2018
Exh.10
demand notice was sent to the accused on 24/02/2017. It is further
contended that the accused through advocate replied to said notice on
12/03/2018. According to complainant, accused despite receipt of
notice, did not pay the cheques amount within stipulated period i.e.
15 days of receipt of the notice. He has contended that therefore, he
filed present complaint on 06/04/2018. Section 143-A was inserted in
N.I. Act empowering the Court to direct interim compensation to the
complainant from drawer of the cheque. The Section was given effect
from 01/09/2018.
6. It is held by the Hon'ble Apex Court in the case of G.J. Raja
V/s. Tejraj Surana arising out of [Criminal Appeal No.1160 of 2019 @
S.L.P. (Criminal) No.3342 of 2019 decided on 30/07/2019] that, Sec-
tion-143A of the Negotiable Instruments Act is prospective in operation.
The provisions of Section-143A can be applied or invoked only in
cases where the offence u/s.138 of the Act is committed after in-
troduction of said Section-143A in the statute book. It appears from
pleading of complainant that cause of action for filing complaint arose
on 27/04/2018. Considering the law laid down by Hon’ble Apex Court
and date of insertion of Section 143A in the Act, complainant is not
entitled to interim compensation as prayed. Therefore, application de-
serves to be rejected :
ORDER
Application is rejected.
Date : 21/03/2024
Sd/-
( Shri. R.D. Dange )
Metropolitan Magistrate,
63rd Court, Andheri, Mumbai
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