Accused : Sri.M.S.Srinivas, S/o Sri.N.Sunder Raj, Age 59 years, Proprietor, Sri Vinayaka Traders, S.No.15, No.11/1, Arekere Main Road, 2 C.C.29702/2018 Banerghatta Road, IIMB Post, Bengaluru 560 076. { By Sri.G.S.Patil Advocate } Offence complained : U/S. 138 of N.I. Act., Plea of accused : Pleaded not guilty Final Order : Accused is acquitted Date of Order : 16012024 JUDGMENT The present complaint is filed under section 2(d) read with section 200 of code of criminal procedure against the accused seeking to punish him for the offence punishable under section 138 of the Negotiable Instruments Act ( in short referred as "N.I. Act"). 02. The thumbnail of the averments of the complaint are as under; It is alleged that, the family members of accused have engaged in cloth business in the name and style of 3 C.C.29702/2018 'Sri Vinayaka Traders'. The accused and his family members are known to the complainant and also have good friendship as well as family relationship. It is further alleged that, the complainant and the accused family members were having financial transactions and they use to help with each other. On the eve of the said relationship, as per the request of the accused on 11.05.2017, the complainant has advanced hand loan of Rs.8,83,000/ to the accused by pledging his family gold ornaments with Andra Bank and raising a loan to the tune of Rs.8,83,000/. On the date of advancement of the said amount, the accused has executed loan agreement dated 11.05.2017 for having received the said amount and had agreed to pay the said amount together with bank rate of interest. It is contended that, when the uncle of complainant was bed ridden and hospitalized and inspite of many request made to the accused for the repayment of the said hand loan,he did not keep up his promise and has failed to repay the said loan amount. Thereafter, in order to repay the said hand loan, the accused has issued a cheque 4 C.C.29702/2018 bearing No.556851 Dated 24.08.2018 for Rs.8,83,000/ drawn on Vijaya Bank, Bilekahalli Branch, Bengaluru in favour of the complainant for the discharge of liability of the complainant. When the complainant has presented the above said cheque for encashment through his banker for encashment, it has returned unpaid due to "Funds Insufficient" in the account of the drawer. Thereafter, the complainant got issued demand notice on 15.09.2018 to the accused and despite of service of the same notice on 17.09.2018, the accused has failed to pay the cheque amount. Instead, he gave vague reply notice dated 03.10.2018. On these assertions, the complainant has sought to punish the accused for the offence punishable under section 138 of NI Act and directed him to pay the sum of Rs.8,83,000/ along with penalty and cost. 03. On presentation of the complaint and after verification of the averments of the complaint as well as the annexed documents, this court took the cognizance for the offence punishable under section 138 of NI Act. As per the verdicts 5 C.C.29702/2018 of the Hon'ble Apex court in the case of Indian Bank Association and others V/s Union of India and others, the sworn statement of the complainant has been recorded by way of examinationinchief as PW.1 and got marked in all eight documents at Ex.P.01 to Ex.P.08. In support of hi