[LST] HC: Criminal charge in dud cheque case not defamation - The Times of India on Mobile

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HC: Criminal charge in dud cheque case not defamation
Shibu Thomas,TNN | Nov 30, 2013, 02.38AM IST 
MUMBAI: Initiation of criminal proceedings in cheque bouncing cases cannot be termed defamation even if they end in acquittal, the Bombay high court has ruled.

Justice Abhay Tipsay quashed defamation charges levelled by the director of a company, B K Chaudhari, against a Jalgaon resident, Govind Artani. Chaudhari faced a criminal trial in a cheque bouncing case and was subsequently acquitted. "It is not possible to hold that the act of prosecuting Chaudhari with respect to an offence punishable under section 138 of Negotiable Instruments Act per se amounted to defamation," said Justice Thipsay, adding if Chaudhari was maliciously prosecuted, as claimed by him, he could seek damages. "The fact remains that there were no sufficient grounds for proceedings against Artani with respect to the offence (of defamation)," said the judge, quashing the defamation proceedings before a magistrate's court.

Artani had filed a defamation case against Chaudhari and other directors of a company for a dishonored cheque issued to him in 2003. Subsequently in 2010, Chaudhari was acquitted. Last year, Chaudhari filed a defamation case and a magistrate issued criminal proceedings against Artani.

Chaudhari claimed he was only a nominal director in the company and had not even signed the cheque that bounced. Despite being not involved, he was unnecessarily made an accused in the trial that dragged for seven years and ended in his acquittal, he said. Chaudhari alleged that the long-drawn trial caused tremendous hardship to him. He had to attend the case hearings and he "suffered physically, mentally and financially" besides his reputation and esteem in society being lowered.

According to the Indian Penal Code publication of a false statement about a man to harm his reputation or discredit him without any lawful excuse by making an imputation by words—spoken or intended to be read, or by making signs or visible representation, and or publishing it—amounts to defamation. If found guilty, a person can imprisonment of up to two years.

Artani's lawyers argued that Chaudhari never challenged the case against him and faced trial. Also, there was never an allegation that Artani gave false evidence, or that he fabricated false evidence.

The HC held no case for defamation was made out against Artani as the only allegation against him was that he had lodged a criminal case against Chaudhari.
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Saurav Datta

Twitter : SauravDatta29

"To those who believe in resistance , who live between hope and impatience and have learned the perils of being unreasonable. To those who understand enough to be afraid, and yet retain their fury"
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