Srinagar – A court in Srinagar has sentenced a man to two years in prison and ordered him to pay Rs 2.4 crore to the complainant in a cheque bounce case.
The complainant, a resident of Shari Bhat Srinagar, intended to buy some land when the accused—Naseer Ahmad Sheikh of Gadoora Ganderbal—approached him with an offer for land valued at Rs 1.2 crore.
Intrigued by the deal, the complainant transferred the money to Sheikh through various methods, as outlined in the court complaint. However, despite receiving full payment, Sheikh failed to provide the necessary documentation and execute a sale deed for the purchase of the land. After a significant period passed without resolution, the complainant requested a refund of the total amount. In response, Sheikh issued 12 cheques of Rs 10 lakh each.
The complainant presented the cheques to the drawee bank on the due date, only to find that they were dishonoured due to insufficient funds in Sheikh’s account. This led the complainant to file a case with the court under the provisions of the Negotiable Instruments Act in 2018.
After considering both sides, City Judge Srinagar Sajad Ur Rehman found Sheikh guilty, stating that the cheques were issued by the accused to settle his debts and were dishonoured upon their presentation for the same reason of “insufficient funds.” Furthermore, Sheikh failed to make the payment after receiving a demand notice.
“The case satisfies all the criteria for an offence punishable under Section 138 of the Negotiable Instrument Act, 1881, rendering the accused guilty,” the court declared before convicting Sheikh.
“The incidence of offences under Section 138 of the N.I. Act is on the rise and must be addressed strictly. Therefore, considering the facts and circumstances of this case, justice will be served by sentencing Naseer Ahmad Sheikh to two years of simple imprisonment for this offence,” the court stated, adding, “The accused is also fined Rs 2 crore and 40 lakhs.”