Territorial jurisdiction in cheque dishonour complaints extends to the place where the cheque was presented for encashment.

Territorial jurisdiction for a Section 138 Negotiable Instruments Act complaint extends to any court where a constituent act of the offence occurred, including presentation of the cheque for encashment. Reading Sections 177 to 179 of the Code of Criminal Procedure with Section 138, the Court reiterated that jurisdiction may lie where the statutory acts forming the offence are completed. On the factual basis accepted by the High Court, the cheque was presented at Delhi, so the Delhi court had jurisdiction. The contrary view was incorrect, and any fresh factual dispute about presentation at another place could still be raised before the competent court.

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Issues: Whether a complaint under Section 138 of the Negotiable Instruments Act, 1881 can be entertained by the court within whose territorial jurisdiction the dishonoured cheque was presented for encashment.

Analysis: The Court applied the settled principle that an offence under Section 138 is completed only on the concatenation of the statutory acts, including presentation of the cheque, dishonour, notice, and failure to pay within the stipulated period. Reading Sections 177, 178 and 179 of the Code of Criminal Procedure, 1973 with the scheme of Section 138, the Court reiterated that territorial jurisdiction is wide and may lie at any place where one of the constituent acts occurred. On the facts recorded by the High Court, the cheque had been presented at Delhi, and that factual basis was sufficient to confer jurisdiction on the Delhi court. The Court held that the High Court erred in concluding otherwise and further noted that any disputed factual plea as to presentation at another place could be raised before the appropriate forum in accordance with law.

Conclusion: The complaint under Section 138 was maintainable before the court at Delhi on the factual footing accepted by the High Court, and the contrary view was incorrect.

Final Conclusion: The impugned order was set aside and the appeal succeeded, leaving the jurisdictional objection open only to the extent of any fresh factual dispute raised before the competent court.

Ratio Decidendi: For an offence under Section 138 of the Negotiable Instruments Act, 1881, territorial jurisdiction extends to any court where one of the constituent acts of the offence, including presentation of the cheque, occurs.

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