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Issues: Whether the order condoning a three-day delay in filing a complaint under Section 138 of the Negotiable Instruments Act and the consequential order taking cognizance and issuing process could stand when the accused were not given notice or an opportunity of hearing before condonation of delay.
Analysis: Section 142 of the Negotiable Instruments Act prescribes the time limit for filing a complaint and permits condonation of delay on sufficient cause being shown. When an application for condonation of delay is made, the affected accused acquire a right to be heard before the court decides whether to excuse the delay. The rule of audi alteram partem applies to such a judicial act, and an order passed without notice to the proposed accused offends principles of natural justice. Since the delay was condoned without hearing the petitioners, the subsequent steps founded on that order could not be sustained.
Conclusion: The impugned order condoning delay and the consequential order taking cognizance and issuing process were set aside, and the matter was remitted for fresh consideration of the condonation application after affording the petitioners an opportunity to file objections.