Case Note & Summary
The petitioners, accused Nos.1 to 3, filed a petition under Section 482 of CrPC seeking quashment of the complaint in PCR No.107/2019 and the consequent FIR No.353/2019 registered at Bagepalli Police Station, as well as the order dated 05.10.2019 passed by the Civil Judge and JMFC, Bagepalli directing investigation under Section 156(3) of CrPC. The complaint was filed by respondent No.2, Syed Babajan, alleging an offence under Section 138 of the Negotiable Instruments Act, 1881, based on dishonour of a cheque. The petitioners contended that the demand notice under Section 138 was not properly served on them as it was sent to an address where they did not reside at the relevant time. The court examined the complaint and the notice and found that the notice was sent to an address in Bagepalli Town, but the petitioners had moved to a different location. The court held that proper service of demand notice is a prerequisite for maintaining a complaint under Section 138 of NI Act. Since the notice was not sent to the correct address, the complaint was not maintainable. Consequently, the court allowed the petition, quashed the complaint and the FIR, and set aside the order under Section 156(3) of CrPC.
Headnote
A) Negotiable Instruments Act - Dishonour of Cheque - Section 138 - Proper Service of Demand Notice - The complainant must prove that the demand notice was sent to the correct address of the accused; failure to do so renders the complaint not maintainable - Held that the notice sent to an address where the accused did not reside at the relevant time does not constitute valid service (Paras 5-8).
Issue of Consideration
Whether the complaint under Section 138 of NI Act and the consequent FIR can be quashed for lack of proper service of demand notice?
Final Decision
Petition allowed. Complaint in PCR No.107/2019, FIR No.353/2019, and order dated 05.10.2019 under Section 156(3) CrPC are quashed.
Law Points
- Section 138 of Negotiable Instruments Act
- 1881 requires proper service of demand notice
- Section 482 of CrPC for quashing FIR
- Section 156(3) of CrPC for investigation order




