Complainant in Cheque Bounce Cases Can Appeal Acquittal Before Sessions Court: Gujarat High Court

The Gujarat High Court has reiterated that a complainant in a cheque dishonour case under Section 138 of the Negotiable Instruments Act is also a “victim” under criminal law and therefore has the right to challenge an acquittal before the Sessions Court under Section 372 of the Criminal Procedure Code.

Justice Hemant M. Prachchhak was hearing an appeal filed by a complainant against a trial court judgment acquitting the accused in a cheque bounce case. The Court noted that the Supreme Court, in Celestium Financial v. A. Gnanasekaran, had clarified that a payee or holder of a dishonoured cheque suffers the direct impact of the offence and qualifies as a victim entitled to appellate remedies.

Relying on the Supreme Court’s ruling and earlier Gujarat High Court decisions, the Court held that such appeals should be filed before the immediate appellate forum, namely the Sessions Court, rather than being pursued under provisions governing appeals against acquittal before the High Court.

Although the State pointed out that the issue is presently under consideration by a larger Bench of the Supreme Court, the High Court observed that the existing precedent continues to govern the field unless overturned.

Accordingly, the Court disposed of the appeal and directed the Registry to transfer the matter, along with the complete record, to the competent Sessions Court. The Sessions Court was instructed to treat it as an appeal under Section 372 CrPC (or Section 413 BNSS) and proceed in accordance with law. The High Court clarified that it had not examined the merits of the acquittal and urged expeditious disposal considering the age of the case.