Bombay High Court Upholds Conviction Under Section 138 NI Act Despite Cheque Date Alteration — Correction of Year Not a Material Alteration When Admitted by Accused. The court held that alteration in the year of the cheque was not material as the accused admitted her signature and the correction, thus the cheque remained valid under Section 138 of the Negotiable Instruments Act, 1881.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Prosecution
  • 3
Judgement Image
Font size:
Print

Case Note & Summary

The case involves a criminal revision application filed by Ruksana w/o Afsar Sayyad (original accused) against Kamalbai w/o Gopinath Rathod (original complainant) challenging her conviction under Section 138 of the Negotiable Instruments Act, 1881. The Judicial Magistrate First Class, Omerga, convicted the applicant on 21.02.2013 in S.C.C. No.968 of 2006, sentencing her to simple imprisonment for 15 days. The applicant appealed to the Adhoc District Judge-1, Omerga, in Criminal Appeal No.4 of 2013, who upheld the conviction but reduced the sentence to imprisonment till the rising of the court on 16.07.2018. The applicant then filed the present revision. The core dispute centered on a cheque issued by the applicant to the respondent. The applicant argued that the cheque contained a material alteration in the year, which should render the instrument void under Section 87 of the Negotiable Instruments Act. She relied on a handwriting expert's opinion to support her claim. However, both lower courts discarded this defence, observing that the expert opinion was created evidence. The respondent contended that the applicant never disputed her signature on the date column and acknowledged the correction, thus the alteration was not material. The High Court framed the short question: whether the alteration in the year of the cheque is a material alteration. The court noted that the applicant admitted her signature on the date column and the correction. Relying on the principle that an alteration made with the consent of the drawer is not material, the court held that the alteration did not render the cheque void. The court found no perversity in the concurrent findings of the courts below and dismissed the revision application, upholding the conviction and sentence as modified by the appellate court.

Headnote

A) Negotiable Instruments Act - Dishonour of Cheque - Material Alteration - Section 138, Negotiable Instruments Act, 1881 - The court considered whether correction of the year on a cheque constitutes a material alteration rendering the instrument void. The accused admitted her signature on the date column and acknowledged the correction. Held that the alteration was not material as it was made with consent and did not affect the validity of the cheque (Paras 7-8).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the alteration in the year of the cheque is a material alteration that renders the negotiable instrument void against the applicant/accused.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The revision application is dismissed. The conviction and sentence as modified by the appellate court are upheld.

Law Points

  • Material alteration
  • Negotiable Instruments Act
  • Section 138
  • Cheque dishonour
  • Handwriting expert
  • Correction in date
  • Admission of signature
Subscribe to unlock Law Points Subscribe Now

Case Details

2023 LawText (BOM) (01) 60

Criminal Revision Application No.250 of 2018 with APPLN/1014/2019

2023-01-09

S. G. Mehare

Mr. A. A. Khan for Applicant; Mr. Yogeshwar L. Bidve for Respondent

Ruksana w/o Afsar Sayyad

Kamalbai w/o Gopinath Rathod

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Criminal revision against conviction under Section 138 of the Negotiable Instruments Act, 1881 for cheque dishonour.

Remedy Sought

The applicant (original accused) sought to set aside the conviction and sentence imposed by the trial court and upheld by the appellate court.

Filing Reason

The applicant was convicted for dishonour of cheque; she challenged the conviction on the ground that the cheque contained a material alteration (change in year) which should render it void.

Previous Decisions

The Judicial Magistrate First Class, Omerga convicted the applicant on 21.02.2013 in S.C.C. No.968 of 2006, sentencing her to 15 days simple imprisonment. The Adhoc District Judge-1, Omerga, in Criminal Appeal No.4 of 2013 upheld the conviction but reduced the sentence to imprisonment till the rising of the court on 16.07.2018.

Issues

Whether the alteration in the year of the cheque is a material alteration that renders the negotiable instrument void against the applicant/accused.

Submissions/Arguments

Applicant argued that both courts did not consider that the change in the year on the cheque was a material alteration, supported by handwriting expert's opinion, and that the case of hand loan was discarded. Respondent argued that the applicant never disputed her signature over the date column and acknowledged the correction, so it is not a material alteration.

Ratio Decidendi

An alteration in the date of a cheque, including the year, is not a material alteration if the drawer admits her signature on the date column and acknowledges the correction, as it does not affect the validity of the instrument under Section 138 of the Negotiable Instruments Act, 1881.

Judgment Excerpts

A short question for consideration is whether the alteration in the year of the cheque is a material alteration that renders the negotiable instrument void against the applicant/accused. The applicant admitted her signature on the date column and the correction. Therefore, the alteration is not material.

Procedural History

The Judicial Magistrate First Class, Omerga convicted the applicant on 21.02.2013 in S.C.C. No.968 of 2006. The applicant appealed to the Adhoc District Judge-1, Omerga, in Criminal Appeal No.4 of 2013, who upheld the conviction but reduced the sentence on 16.07.2018. The applicant then filed the present criminal revision before the High Court.

Acts & Sections

  • Negotiable Instruments Act, 1881: 138
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Allows Second Appeal in Property Dispute Over Adverse Possession — Concurrent Findings Set Aside Due to Misapplication of Burden of Proof and Failure to Consider Documentary Evidence.
Related Judgement
Supreme Court Supreme Court Allows Victim's Appeal for Further Investigation in Criminal Case Involving Influential Minister. The court directed further investigation under Section 173(8) CrPC due to admitted lapses by the State, holding that commencement of trial...