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2007 (12) TMI 522 - HC - Indian Laws

Issues involved:
The judgment involves the invocation of Section 482 of the Code of Criminal Procedure for quashing an order passed by a Judicial Magistrate against the petitioner regarding dishonored cheques and liability under Section 138 of the Negotiable Instruments Act.

Details of the Judgment:

Issue 1: Invocation of Section 482 of Cr.P.C. for quashing the order
The petitioner sought quashing of the order dated 28.3.2007 passed by the Judicial Magistrate, 1st Class, Jalandhar, invoking Section 482 of the Cr.P.C. The complaint alleged that the petitioner and her husband received a friendly loan and issued cheques to discharge the advance. The Trial Court issued process of summoning against them, leading to the petitioner's plea for quashing the proceedings on the grounds of not obtaining the loan and not being a signatory of the cheque.

Issue 2: Interpretation of Section 138 of the Negotiable Instruments Act
The judgment delves into Section 138 of the Negotiable Instruments Act, which pertains to the dishonor of cheques due to insufficient funds. It highlights that liability under this section is on the drawer of the cheque, as defined in Section 7 of the Act. The petitioner, being the spouse of the accused, was contended to not be liable for the dishonored cheque drawn from a joint account, emphasizing the strict construction of penal provisions.

Conclusion:
The judgment concludes that the petitioner cannot be held liable for the dishonored cheque drawn by her husband from their joint account. It emphasizes that the liability under Section 138 of the Act is on the drawer of the cheque, absolving the petitioner from culpable liability. Consequently, the petition is accepted, quashing the proceedings against the petitioner while allowing the continuation of proceedings against the other accused.

 

 

 

 

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