Bangalore District Court H Manjunath vs M/S Manappuram Chits Karnataka Pvt Ltd on 20 February, 2024 1 Crl.A.No.308/2022 KABC010079232022 IN THE COURT OF THE LII ADDL. CITY CIVIL & SESSIONS JUDGE, BANGALORE (CCH53) Dated this the 20th day of February, 2024 PRESENT Sri.B.G.Pramoda, B.A.L., LL.B., LII Addl. City Civil & Sessions Judge, Bangalore. Crl.A.No. 308 /2022 Accused/ Mr.H.Manjunath, Appellant : S/o Sri.Hanumaiah, Aged about 35 years, 3rd Cross, Anjanappa Building, Pooja Garden, Channasandra, Chikkanahalli, Bengaluru 562130. (By Sri.Pawade Gowda Advocate) V/S Complainant/ M/s Manappuram Chits (Karnataka) Pvt. Ltd., Respondent: R/at: No.2, 2nd Floor, SRS Complex, 6th Main, R.T.Nagar, Bengaluru 560032. Represented by its Assistant Legal Manager, Mr.Ramesha D.K S/o Sri.Kempanna. (By Sri.N.RajaRajeshwari Advocate) 2 Crl.A.No.308/2022 JUDGMENT This appeal is filed by the Appellant praying to set aside the judgment dated 19.02.2022 passed by the learned XX Additional Small Causes Judge and ACMM and MACT (SCCH 22), Bengaluru in C.C.No.798/2021 and praying to acquit him in the said case. 2. The appellant of this appeal was the accused before the Trial Court. The respondent of this appeal was the complainant before the Trial court. The rank of the parties to this appeal will be hereinafter referred to with the same rank as assigned to them before the trial court for the sake of convenience. 3. The brief facts which leads to file this appeal in nutshell are as follows: The complainant had filed private complaint before the trial court bearing PCR.No.5018/2020 against the accused by alleging the commission of offence punishable U/Sec.138 of N.I. Act. It is alleged in the private compliant that the complainant company is a reputed Chit Company registered under the Companies Act 1956. The accused subscribed a chit to a chit group No.RTN006FG with ticket No.18 for a sum of Rs.10,00,000/ payable at the rate of Rs.25,000/ per month for a period of 40 months. The accused has participated in the chit auction and was declared as the prize holder in the said auction held on 19.10.2019 and received prize money of Rs.7,00,000/ after deducting the bid amount. The accused along with other 3 Crl.A.No.308/2022 guarantors have executed an On Demand Promissory Note, surety form, guarantee bond and other documents in favour of the complainant company for the amount received by the accused. The accused has paid 17 installments and thereafter he has defaulted in making further payments. As such, the complainant has issued legal notice to the accused and other guarantors. The accused after the service of the said notice, approached the officials of the complainant company and issued cheque bearing No.123391 dated 23.09.2020, drawn on State Bank of India, Horamavu Branch, Bengaluru for Rs.5,74,993/ in favour of the complainant company towards the claim amount. As per the instruction of the accused, the complainant has presented said cheque for encashment through its banker. But the said cheque was dishonored due to "Funds Insufficient" in the Bank account of the accused. Thereafter the complainant company had issued legal notice dated 26.09.2020 to the accused by RPAD by intimating about dishonor of cheque and by demanding the payment of the cheque amount. The said notice was returned with postal shara 'unclaimed' on 03.10.2020. The accused has not compiled the said legal notice and has not paid the cheque amount and hence it is alleged in the complaint that accused has committed the offence punishable U/Sec.138 of N.I. Act. 4. After filing of the complaint, the trial court took cognizance for the offence punishable U/Sec.138 of N.I.Act against the accused. Thereafter the trial court has recorded the sworn statement of the complainant. The trial court after 4 Crl.A.No.308/2022 perusing the private compliant, sworn statement of the Representative of the complainant company and the documents produced by him was pleased to register criminal case against the accused in CC.No.798/2021 for the offence punishable U/Sec.138 of N.I. Act and issued