Chandigarh: Convict in cheque dishonour case directed to pay double the amounthttps://indianexpress.com/article/cities/chandigarh/chandigarh-convict-in-cheque-dishonour-case-directed-to-pay-double-the-amount/

Chandigarh: Convict in cheque dishonour case directed to pay double the amount

The convict, Dharampal Singh, proprietor of Shiv Beej Bhandar, was sentenced to imprisonment by the court of Judicial Magistrate First Class Punita Bashamboo under the Section 138 of the Negotiable Instrument Act.

Chandigarh: Convict in cheque dishonour case directed to pay double the amount
According to the complainant, Mohali-based Godrej Agrovet, the company had business relations with the accused, who had approached them for purchase of pesticides.

The District Court of Chandigarh sentenced a Jind-based pesticide store owner to two years of imprisonment in a cheque dishonour case involving Rs 15.48 lakh.

The convict, Dharampal Singh, proprietor of Shiv Beej Bhandar, was sentenced to imprisonment by the court of Judicial Magistrate First Class Punita Bashamboo under the Section 138 of the Negotiable Instrument Act. The court also directed the convict to pay double the amount mentioned in the dishonoured cheque to the complainant.

According to the complainant, Mohali-based Godrej Agrovet, the company had business relations with the accused, who had approached them for purchase of pesticides.

The same were supplied to the accused.

In order to discharge the above said liability, the accused issued cheque dated July 26, 2017 amounting to Rs 15,48,000, drawn on Indian Overseas Bank in favour of the complainant as part consideration for the supply of products.

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On the assurance of the accused, the firm presented the cheque through his bank for encashment, however, the cheque was dishonored with the remarks “Exceeds Arrangement”. Thereafter, a legal notice dated August 4, 2017, was duly served to the accused, but the accused did not make the payment.

After going through the documents and facts of the case, the court held that the accused was guilty and sentenced him to jail for two years. However, he was granted bail by the court as the punishment was of less than three years.

The court directed accused Dharampal to pay a compensation to the tune of Rs 30.96 lakh (twice the amount of Rs 15.48 lakh) to the complainant within two months. In default of the payment of the compensation within the period, the convict would be imprisoned for one month, the court said.