2017 (7) TMI 624 - HC - Indian Laws

Transfer of Complaint Case under Section 138 of Negotiable Instruments Act,pending in the court of Additional Chief Judicial Magistrate - I, Jaunpur to any other court of competent jurisdiction at Banda - maintainability of application - Held that - Before the amendment, the complainants had to face double jeopardy in as much as firstly, they could not recover the legitimate money and secondly in order to file a complaint, they had to suffer the agony and pain of going to the jurisdictional court of drawer of the cheque. By the Amending Act of 2015, the law laid down by the Hon ble Apex Court in Dashrath Rupsingh Rathod s case (2014 (8) TMI 417 - SUPREME COURT) has been nullified and after this amendment a complaint shall be filed by the payee or holder in due course of a cheque in the court of such district where the bank in which his/her account exists is situated and not at the place where the drawer s bank is situated. Thus this transfer application deserves to be allowed.

Summary

Issues: Jurisdictional challenge under Section 138 of Negotiable Instruments Act; Transfer of case under Section 407 Cr.P.C.

Jurisdictional Challenge under Section 138 of Negotiable Instruments Act:
The case involved a jurisdictional challenge under Section 138 of the Negotiable Instruments Act. The applicant sought to transfer the complaint case from Jaunpur to Banda due to the amendment in the Act in 2015, which affected the jurisdiction of the court. The applicant, a resident of Banda, had lent money to the opposite party, who issued cheques from Jaunpur banks. The applicant faced difficulties in pursuing the case in Jaunpur due to personal circumstances and threats from the opposite party. The legal framework established by the Supreme Court in Dashrath Rupsingh Rathod's case and subsequent amendments to Section 142 of the Act were crucial in determining the jurisdictional issue. The court analyzed the facts, statutory provisions, and legal precedents to evaluate the jurisdictional aspect under Section 138.

Transfer of Case under Section 407 Cr.P.C.:
The court considered the transfer application under Section 407 Cr.P.C. in light of the jurisdictional challenge. The applicant's plea for transfer was based on practical difficulties, statutory amendments, and the conduct of the opposite party. The court highlighted the hardship faced by the applicant, an elderly woman with dependents, in pursuing the case in Jaunpur. The conduct of the opposite party, including non-appearance despite warrants and threats, influenced the decision to transfer the case to Banda. The court referenced the legal principles established in landmark judgments like Bridgestone India Pvt. Ltd. v. Inderpal Singh to support the transfer application. The judgment emphasized the need for expeditious resolution and the interest of justice in transferring the case to a more convenient and appropriate jurisdiction.

Conclusion:
The judgment, delivered by Hon'ble Mrs. Vijay Lakshmi, J., allowed the transfer application under Section 407 Cr.P.C. The decision was based on the jurisdictional challenges under Section 138 of the Negotiable Instruments Act, the statutory amendments affecting jurisdiction, practical difficulties faced by the applicant, and the conduct of the opposite party. The court's analysis of legal provisions, precedents, and factual circumstances led to the conclusion that transferring the case from Jaunpur to Banda was necessary in the interest of justice and to ensure a fair resolution. The detailed reasoning provided in the judgment highlighted the significance of jurisdictional issues and the procedural aspects involved in transferring cases under relevant legal frameworks.