The Delhi high court has stated that while issuing a notice under Section 138 of the Negotiable Instruments Act, “an omnibus notice without specifying the amount due under the dishonoured cheque, not even calling upon the alleged accused to pay the amount of cheque”, will not meet the requirement of the law. Quashing the complaint in the case, Brainobrain Kids Academy Ltd vs Continental Advertising Ltd, the court noted that “the demand for return of the amount is an essential ingredient to constitute an offence punishable under Section 138 of the Act. Thus, if the amount is not specified, the same cannot be said to be a valid demand.”
IN THE HIGH COURT OF DELHI AT NEW DELHI
SUBJECT : NEGOTIABLE INSTRUMENTS ACT, 1981
CRL.M.C. 710/2010 & Crl.M.A. 2592/2010 (stay)
Decided on: 15th March, 2012
BRAINOBRAIN KIDS ACADEMY P. LTD & ANR.
versus
CONTINENTAL ADVERTISING P.LTD.
Coram:
HON’BLE MS. JUSTICE MUKTA GUPTA
1. The present petition seeks quashing and return of the complaint No. 743 1/2007 dated 12th March, 2007 pending in the Court of Shri Ajay Garg, Metropolitan Magistrate, Tis Hazari Court, New Delhi on the ground that essential ingredient of Section 138 Negotiable Instruments Act, 1981 (in short N.I. Act) are not fulfilled and the learned Trial Court has no territorial jurisdiction to try the complaint.
