THE HON’BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU CRIMINAL APPEAL No.425 of 2011 BETWEEEN: Shri Vijayavardhani Co-operative Oilseeds … Appellant AND 1. Sri C.Rajasekhar Reddy & another. … Respondents THE HON’BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU CRIMINAL APPEAL No.425 of 2011 JUDGMENT: The complainant seeks to file appeal against acquittal recorded by the Judicial Magistrate of the First Class, Gadwal in CC.No.507 of 2000 by judgment dated 27.02.2009. The case pertains to offence punishable under Section 138 of the Negotiable Instruments Act. Even though there are certain defences relating to issue of cheque put forward by the accused to the effect that the cheque was issued as a security in the business transactions, the lower Court mainly based its finding of not guilty on the ground of non-existence of legally enforceable debt. Towards proof of existence of legally enforceable debt, the complainant did not file any document with the signature of the accused acknowledging his liability. Even though there is a debit entry of Rs.1,73,630.25 paise in the accounts of the complainant against the accused, it related to the debt due by late C.Prathap Reddy, who is the deceased brother of the accused, the said entry was not accepted by the accused with his signature. For that reason, the lower Court discarded Ex.P3 statement of account of the accused with the complainant company. In the absence of proof of existence of a legally enforceable debt or liability on the part of the accused, mere dishonour of the cheque issued by the accused would not mulet him with criminal liability. I do not find any grounds in this appeal. 2. Hence, the Criminal Appeal is dismissed. _____________________________ SAMUDRALA GOVINDARAJULU, J Dated: 27.04.2011 ysk THE HON’BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU CRIMINAL APPEAL No.425 of 2011 DATED: 27.04.2011 ysk