Gujarat High Court
Shri Sadguru Credit Co. Op. Society Ltd ... vs State Of Gujarat on 10 July, 2025
NEUTRAL CITATION
R/CR.MA/374/2025 ORDER DATED: 10/07/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/CRIMINAL MISC.APPLICATION (FOR LEAVE TO APPEAL) NO. 374 of
2025
In F/CRIMINAL APPEAL NO. 48575 of 2024
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SHRI SADGURU CREDIT CO. OP. SOCIETY LTD THRO RAHUL P
SOLANKI
Versus
STATE OF GUJARAT & ANR.
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Appearance:
MR P S DATTA(11324) for the Applicant(s) No. 1
M S PADALIYA(7406) for the Respondent(s) No. 2
MR PRANAV DHAGAT, APP for the Respondent(s) No. 1
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CORAM:HONOURABLE MS. JUSTICE S.V. PINTO
Date : 10/07/2025
ORAL ORDER
1. When the is matter called out, learned advocate
Mr.P.S.Padaliya for the respondent no. 2 is not present.
2. The present application is filed by the applicant -
original complainant seeking leave to file an appeal against the
order dated 18.10.2024 passed by the learned 3 rd Additional Chief
Judicial Magistrate, Rajkot (hereinafter referred to as the "learned
Trial Court") in Criminal Case No. 15235 of 2018, whereby,
respondent no.2 - original accused came to be acquitted from the
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R/CR.MA/374/2025 ORDER DATED: 10/07/2025
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offence under Section 138 of Negotiable Instrument Act, 1881
(hereinafter referred to as "N.I.Act").
3. Heard learned advocate Mr.P.S.Datta for the applicant
and learned APP Mr. Pranav Dhagat for the respondent No.2 -
State.
4. Learned advocate Mr.P.S.Datta for the applicant
submits that the applicant is serving as a Recovery Officer in the
"Shree Sadguru Credit Cooperative Society" and the said society
had advanced a loan of Rs.10,00,000/- to the respondent no. 2 and
an amount of Rs.6,90,000/- was outstanding , towards which, the
respondent no. 2 issued cheque no. 000001 dated 29.10.2018 for the
amount of Rs.6,90,000/- from her account with Citizen
Cooperative Bank Ltd., Rajkot Branch. The applicant deposited the
said cheque in the account of the society, but the cheque returned
unpaid with the endorsement "Today's Opening Balance
Insufficient". The demand statutory notice was given, which was
duly served to the respondent No.2, but the respondent no.2 did
not repay the amount within the stipulated period, and hence, the
applicant filed the complaint under Section 138 of N.I.Act before
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R/CR.MA/374/2025 ORDER DATED: 10/07/2025
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the Court of Chief Judicial Magistrate, Rajkot, which came to be
registered as Criminal Case No. 15235 of 2018. The respondent no.
2 was duly served with the summons and she appeared before the
learned Trial Court and her plea was recorded at Exh.5. The
applicant stepped into witness box and produced oral and
documentary evidence in support of her case. After the closing
pursis was filed by the applicant, the further statement of the
respondent no. 2 was recorded, but the respondent no. 2 did not
put up any plausible defense and after the arguments of the
learned advocates for the both parties were heard, the learned
Trial Court was pleased to pass the impugned judgment and order
of acquittal. Learned advocate for the applicant submits that the
learned Trial Court has passed the impugned order mainly on the
ground that the applicant did not prove that the Credit Society had
a license to advance loans and the respondent no. 2 was not a
member of the Credit Society. Learned advocate for the applicant
further submits that earlier, the matter was conducted and the
respondent no. 2 did not appear and did not cross-examine the
applicant and by the impugned judgment and order dated
21.10.2022, the learned Trial Court was pleased to convict and
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R/CR.MA/374/2025 ORDER DATED: 10/07/2025
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sentence the respondent no. 2 to simple imprisonment of one year
and to pay the amount of cheque with simple interest at the rate of
9% per annum tot he applicant within a period of one month, and
in default, simple imprisonment of three months.
3.1. Being aggrieved and dissatisfied with the impugned
judgment and order of conviction, the respondent no. 2
approached the Sessions Court by filing Criminal Appeal No. 497
of 2022 and the learned 11th Additional Sessions Court, Rajkot, by
an order dated 03.10.2023, was pleased to quash and set aside the
judgment and order of conviction passed by the learned Trial
Court and remand back the matter for fresh consideration.
Thereafter, after hearing learned advocates for the both the parties,
the learned Trial Court has acquitted the respondent no. 2 from the
offence under Section 138 of the N.I.Act. Learned advocate for the
applicant submits that at that time, this issue was not raised and in
fact, the applicant had produced the loan agreement form at
Exh.18, the promissory note and receipt at Exh.19 and the cheque
at Exh. 20 and proved that the amount due from the respondent
no. 2 is the legally enforceable due amount. Learned advocate
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R/CR.MA/374/2025 ORDER DATED: 10/07/2025
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submits that the applicant has a good case on merits and has
urged this Court to allow the present application.
4. Learned APP Mr. Pranav Dhagat for the respondent -
State has submitted that the learned Trial Court has considered the
evidence on record and has passed the impugned judgment and
order of acquittal order considering the settled principles of law
and hence, the leave to appeal may not be granted.
5. Considering the submissions of learned advocate for
the applicant as also perusal of the paper book produced on
record, it appears that the learned Trial Court has failed to
appreciate the entire evidence in proper perspective, and hence, in
the peculiar facts and circumstances of the case and in the
considered opinion of this Court, the application deserves to be
considered. Consequently, the application for leave to appeal is
granted and disposed off accordingly.
(S. V. PINTO,J)
F.S.KAZI
