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Issues: Whether the summoning order passed in a complaint under Section 138 of the Negotiable Instruments Act, 1881 could be quashed under Section 482 of the Code of Criminal Procedure, 1973 on the basis of the petitioner's defence that the cheques were security cheques and the pledged goods had allegedly been stolen.
Analysis: The issuance of the two cheques and their dishonour for insufficiency of funds was not disputed. The objections raised by the petitioner, including the plea that the cheques were issued as security and the challenge to the complainant's version regarding the pledged goods and ledger entries, were matters of defence. Such disputed questions could not be adjudicated in quashing proceedings and required evidence at trial.
Conclusion: The summoning order was held to suffer from no infirmity and the request for quashing was rejected.
Final Conclusion: The criminal petition was not maintainable on the merits of the defence and the prosecution under Section 138 of the Negotiable Instruments Act, 1881 was permitted to proceed.
Ratio Decidendi: A cheque dishonour complaint cannot be quashed under Section 482 of the Code of Criminal Procedure, 1973 merely on disputed defences such as security cheque or alleged misuse when issuance and dishonour of the cheques are admitted.