(1.) Heard learned counsel Mr. Marpakwar for the applicant, learned counsel Mrs. Joshi for respondent No. 3 and learned Additional Public Prosecutor Mr. Bangadkar for respondent No. 2. Admit. Heard finally by consent.
(2.) The applicant has been convicted for the offence punishable under Section 138 of Negotiable Instruments Act by the learned trial Magistrate and has been sentenced to pay a fine of Rs. 5,000/- in default to undergo simple imprisonment for a period of one month. The applicant is further directed to pay compensation of Rs. 60,000/- to respondent No. 1.
(3.) Admittedly, cheque was given by the applicant to respondent No. 1. It was the case of respondent No. 1 before the trial Court that the applicant had taken hand loan of Rs. 60,000/. He had given a cheque by way of refund of the said hand loan. The case of the applicant before the trial Court was that in fact respondent No. 1 had taken loan from the applicant and that the applicant had therefore given a cheque to respondent No. 1. It was further defence of the applicant that the applicant had instructed respondent No. 1 to deposit the cheque after giving intimation to the applicant. The cheque was allegedly deposited without intimation to the applicant.