The place where cheque is deposited would have jurisdiction to entertain complaint u/s 138 N I Act

Court Name: The Hon'ble Delhi High Court                Case No. : Crl. M.C. 555 of 2010

Title of the case: Patiala Casting P. Ltd.  V/s  Bhushan Steel Ltd.

Date of Order:  August 11th, 2010 

Facts of the case:

The complainant was given the cheque in question  payable at  Bank  of  Baroda,  SSI  Mandi,  Gobindgarh,  Punjab.  But the  complainant  deposited  this cheque  with  their  banker  Punjab  National  Bank,  Partap  Ganj  Branch,  Delhi,  since  the complainant  was  having  its  head  office  and registered  office  at  Delhi. The  cheque got dishonoured and was returned back unpaid by the banker of the petitioners on account of “exceeds arrangements”. A demand notice demanding the cheque amount was sent by the complainant from  his head office at Delhi and despite notice the cheque amount was not paid. On this basis, a complaint was filed in Delhi. 

Held:

I  consider  that  where  the  registered/  head  office  of  complainant  is  at  Delhi, cheque for encashment is deposited by complainant at Delhi, notice of demand is served from Delhi and amount of cheque is not paid despite notice, the court of MM at  Delhi would  have  jurisdiction  to  entertain  complaint  under  Section  138  of  Negotiable Instruments act.