10 yrs on, man acquitted in cheque-bounce case

The Court of Additional Sessions Judge, Chandigarh, has set aside the order of conviction and sentence passed by a trial court against NK Oswal, managing director of M/s Punjab Wool Combers Limited, Ludhiana.

Oswal had challenged the trial court order dated March 5, 2013, vide which he was held guilty of an offence punishable under Section 138 of the Negotiable Instruments Act and sentenced to simple imprisonment for one year. He was also directed to pay Rs 1.8 lakh as compensation. The trial court had convicted Oswal on a complaint by the ESIC, Chandigarh, claiming that Oswal’s company gave a Rs 1-lakh cheque (dated August 30, 2005), but the bank refused to honour that on September 9, 2005, with “Funds Insufficient” remarks.

Additional Sessions Judge Sonika said a specific defence had been taken by the accused that he never received any notice regarding cheque dishonour and for making payment of the amount.