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Issues: Whether the criminal complaint and cognizance under Section 138 of the Negotiable Instruments Act, 1881 should be quashed in exercise of inherent powers under Section 482 of the Code of Criminal Procedure, 1973.
Analysis: The petition was founded on the terms of a deed of undertaking and the contention that the cheques were issued subject to conditions. The Court noted that the petitioner had admittedly issued two post-dated cheques and that the dispute arising from the agreement and the circumstances of presentation of the cheque involved questions that could be examined in trial. In such a situation, the materials did not justify interference at the threshold.
Conclusion: The prayer for quashing was rejected and the proceedings were allowed to continue.