Srinagar, May 6: A court here has awarded one-year jail to a Srinagar resident in a cheque bounce case and directed him to pay Rs over 32 lacs, double the cheque amount, to the complainant.
While announcing the order, Judge Small Causes Court Srinagar Fayaz Ahmad Qureshi observed that the object of bringing Section 138 of Negotiable Instruments Act or statute is to inculcate faith in the efficacy of banking operations and credibility in transacting business on negotiable instruments.
“This provision was incorporated to enforce strict liability so far as negotiable instrument is concerned,” the court said, adding, “The law relating to negotiable instruments is the law of commercial world legislated to facilitate the activities in trade and commerce making provision of giving sanctity to the instruments of credit which could be deemed to be convertible into money and easily passable from one person to another.”
The two parities before the court had entertained into an agreement regarding sale of flat at Satbari Chattarpur South Delhi. The complainant—a woman from Bagh-e-Mehtab Srinagar through counsel Aamir Masoodi stated that she had executed agreement on 18 April 2018 with the accused who happens to be the Managing Director of a Cooperation dealing with sale and purchase of the property.
On failure of the Managing Director to handover the possession he was required to return the whole sum of amount with an interest of 8%.
Eventually the accused, Sikander Khursheed, did not deliver possession of the flat and issued cheques to the complainant. “The accused issued cheques probably considering that he is executing certain pieces of papers to cause delay and not negotiable instruments which are to pass from hands to hands like goods,” the court said in the order, a copy of which lies with GNS, adding, “The accused not only defeated the object of N.I.Act but he also cheated the complainant by issuing cheques giving her assurance that these cheques will be encashed in due course and the complainant will get her dues.” But unfortunately for the complainant the two cheques issued by the accused turned out to be only pieces of papers which could not get the complainant her own money assured by the accused to be paid by virtue of the cheques. “This has not only shaken the trust of the complainant in dealings through negotiable instruments but is also stalled money from free circulation and it has deprived the complainant of her own money.”
Subsequently that court ordered that the accused shall pay a compensation amount of Rs.32,24,000/-, less by amount of Rs.04.00 Lacs which he has already paid, within a period of one month failing which the same shall be recovered in accordance with Section 421 CrPC 1973.
“The accused is sentenced to simple imprisonment for one year out of which he shall undergo six months rigorous imprisonment and six months simple imprisonment .” (GNS)