Summary
A cheque-dishonour complaint was restored because sufficient cause existed to condone its delayed filing when reckoned from the first, timely statutory notice. The complainant’s unsuccessful attempts to obtain postal acknowledgment and the circumstances leading to a second notice were adequately explained. Even presumed service of the first notice did not defeat condonation. The Court did not rely on the later notice as a fresh cause of action or decide the substantive allegations.
Issues
- Whether the delayed complaint could proceed on the first timely notice despite subsequent notice and disputed service.
- Whether sufficient cause justified condonation under Section 142.
Provisions considered
- Section 138, provisos (b) and (c), Negotiable Instruments Act, 1881The first notice was issued within 30 days of bank information and was used as the basis for the complaint, rather than treating the second notice as a fresh foundation. (¶ 9–10)
- Section 142(1)(b) and proviso, Negotiable Instruments Act, 1881Permitted cognizance beyond the one-month complaint period where sufficient cause was shown; the complaint read as a whole supplied that cause. (¶ 11)
Held
- The first notice dated 31 December 2015 met the statutory notice period. The borrower disputed service, and the complainant explained repeated unsuccessful postal inquiries before sending another notice; the Court proceeded on the first notice as the relevant basis. (¶ 10)
- The complaint’s explanations, read together, showed sufficient cause for delay even if ordinary-course service of the first notice was presumed. The High Court should not have quashed the proceedings merely on that presumption and the filing delay. (¶ 11–12)
- Restoration did not resolve the rival substantive contentions, which remained for trial. (¶ 13)
Result
Appeal allowed. High Court’s quashing order set aside and complaint restored to the trial court. Delay condonation sustained on the explained circumstances, reckoned on the basis of the first notice. Merits left open for trial.