Case Note & Summary
The petitioner, Jagdish Khodke, filed a criminal writ petition under Article 226 of the Constitution of India seeking quashing of Criminal Case No. 1593 of 2015 pending before the Judicial Magistrate First Class, Dhule, arising out of a complaint filed by respondent No.2 Gopalrao Kele and others under Section 138 of the Negotiable Instruments Act, 1881. The petitioner contended that the cheque in question was drawn on a bank at Pune, presented for collection at Pune, and dishonoured at Pune. The statutory notice was sent to the petitioner at Dhule, but the cause of action for the offence arose only at Pune where the cheque was presented and dishonoured. The petitioner argued that the Magistrate at Dhule had no territorial jurisdiction to take cognizance of the offence. The respondents opposed the petition, submitting that the notice was served at Dhule and part of the cause of action arose at Dhule. The court, after hearing arguments, examined the legal position regarding territorial jurisdiction under Section 138 of the NI Act. Relying on the principle that the offence is committed at the place where the cheque is presented and dishonoured, the court held that the Magistrate at Dhule lacked jurisdiction. The court quashed the criminal proceedings at Dhule, leaving it open to the complainant to file a fresh complaint at the appropriate court at Pune. The petition was allowed, and rule was made absolute.
Headnote
A) Criminal Procedure Code - Territorial Jurisdiction - Section 177 Cr.P.C. - Place of Offence - The offence under Section 138 of the Negotiable Instruments Act, 1881 is committed at the place where the cheque is presented to the bank and dishonoured, not at the place where the cheque is drawn or the statutory notice is served. The court at the place of presentation and dishonour has exclusive jurisdiction to try the offence. (Paras 5-8) B) Negotiable Instruments Act - Dishonour of Cheque - Section 138 - Territorial Jurisdiction - Cognizance - Where the cheque was presented at Pune and dishonoured at Pune, the Magistrate at Dhule lacks territorial jurisdiction to take cognizance of the complaint. The proceedings initiated at Dhule are without jurisdiction and liable to be quashed. (Paras 5-8)
Issue of Consideration
Whether the Magistrate at Dhule had territorial jurisdiction to take cognizance of the offence under Section 138 of the Negotiable Instruments Act, 1881 when the cheque was presented and dishonoured at Pune.
Final Decision
The petition is allowed. Criminal Case No. 1593 of 2015 pending before the Judicial Magistrate First Class, Dhule, is quashed and set aside. The complainant is at liberty to file a fresh complaint at the appropriate court at Pune. Rule is made absolute.
Law Points
- Territorial jurisdiction for Section 138 NI Act
- Place of presentation of cheque determines jurisdiction
- Cognizance by Magistrate without jurisdiction is void
