INDUS AIRWAYS PVT. LTD. Vs. MAGNUM AVIATION PVT. LTD
LAWS(SC)-2014-4-16
SUPREME COURT OF INDIA (FROM: DELHI)
Decided on April 07,2014

M/S. Indus Airways Pvt. Ltd. And Ors. Appellant
VERSUS
M/S. Magnum Aviation Pvt. Ltd. And Anr. Respondents





Cited Judgements :-

BATTU SATYA MURTHY VS. VIDYANJALI EDUCATIONAL SOCIETY [LAWS(APH)-2023-2-154] [REFERRED TO]
SHRIRAM TRANSPORT FINANCE CO. LTD. VS. AKHILABANU [LAWS(KAR)-2015-2-54] [REFERRED TO]
NANDHI DHALL MILLS, SALEM VS. KOTAK MAHINDRA BANK LTD. [LAWS(MAD)-2022-1-259] [REFERRED TO]
K J SHAJI VS. THODUPUZHA PRIMARY CO-OPERATIVE AGRICULTURE AND RURAL DEVELOPMENT BANK LTD AND ANOTHER [LAWS(KER)-2017-8-152] [REFERRED TO]
SHRI RAJ KUMAR VS. SHRI SHAMSHER SINGH [LAWS(HPH)-2017-8-110] [REFERRED TO]
ACC TRENDS PVT. LTD VS. PROVOCATRO APPARELS PVT. LTD. [LAWS(MAD)-2020-11-284] [REFERRED TO]
SUMETI VIJ VS. PARAMOUNT TECH FAB INDUSTRIES [LAWS(SC)-2021-3-30] [REFERRED TO]
TECHI DOYA VS. STATE OF ARUNACHAL PRADESH AND ORS. [LAWS(GAU)-2015-8-59] [REFERRED TO]
BINCO CONSTRUCTIONS PVT. LTD VS. R.R.INDUSTRIAL CORPORATION (I) PRIVATE LTD [LAWS(CHH)-2021-2-97] [REFERRED TO]
RAJKUMAR SHARMA VS. SHRIRAM FINANCE CO. LTD [LAWS(CHH)-2014-8-10] [REFERRED TO]
NANDESHWARI STEEL LTD THRO MITESH ASHWINBHAI PATEL VS. STATE OF GUJARAT [LAWS(GJH)-2017-4-218] [REFERRED TO]
NANDESHWARI STEEL LTD THRO MITESH ASHWINBHAI PATEL VS. STATE OF GUJARAT [LAWS(GJH)-2017-4-218] [REFERRED TO]
HIRENKUMAR NALINCHANDRA SHAH VS. STATE OF GUJARAT AND 1 [LAWS(GJH)-2017-4-397] [REFERRED TO]
ANUP KUMAR VS. STATE OF JHARKHAND [LAWS(JHAR)-2014-7-58] [REFERRED TO]
RANG LAL RAM VS. STATE OF JHARKHAND [LAWS(JHAR)-2021-3-26] [REFERRED TO]
AJAY VASANT TIKEKAR VS. GEELON INDUSTRIES PVT LTD [LAWS(GJH)-2023-9-49] [REFERRED TO]
DOMINIONS REALTY PVT. LTD. AND ORS. VS. KARNATAKA LEGISLATURE SECRETARIAT EMPLOYEES HOUSING CO-OPERATIVE SOCIETY LIMITED [LAWS(KAR)-2015-12-116] [REFERRED TO]
ADARSH STATIONERY VS. SHRI MAHAVEER AGENCY [LAWS(MPH)-2017-3-154] [REFERRED TO]
R. JAYANTHI VS. K. YASODHA [LAWS(MAD)-2016-2-82] [REFERRED TO]
A. SRINIVASALU VS. KARTHIK KALEVAR [LAWS(KAR)-2015-4-88] [REFERRED TO]
BRANCH MANAGER, PCA & RD BANK LTD , BELTHANGADY VS. SURESH GANAPATHI DAS [LAWS(KAR)-2018-2-208] [REFERRED TO]
RANJIT SHAHANI SON OF LATE GOVINDRAM SHAHANI VS. STATE OF BIHAR; PREETEY VERMA WIFE OF ANIL KUMAR VERMA [LAWS(PAT)-2017-4-86] [REFERRED TO]
SANGITA SHARMA (DHYANI) VS. J.K. CONSTRUCTION [LAWS(TRIP)-2021-6-21] [REFERRED TO]
SANDEEP KHANNA VS. STATE OF PUNJAB [LAWS(P&H)-2019-7-356] [REFERRED TO]
MAHINDER SINGH BHASIN VS. SSANGYONG ENGINEERING & CONSTRUCTION CO. LTD. [LAWS(MPH)-2015-8-21] [REFERRED TO]
SERVE & VOLLEY OUTDOOR ADVERTISING PVT LTD VS. NITESH SHETTY [LAWS(KAR)-2019-4-258] [REFERRED TO]
SENTHILKUMAR VS. STATE OF KERALA [LAWS(KER)-2023-7-171] [REFERRED TO]
SUNIL TODI VS. STATE OF GUJARAT [LAWS(SC)-2021-12-8] [REFERRED TO]
AJAYA KUMAR CHOUDHURY VS. SMT. SARADA NANDA [LAWS(ORI)-2018-1-115] [REFERRED TO]
E. GOPINATHA KURUP, S/O. RAYARAPPA KURUP, PROPRIETOR, M/S. SASTHA MOTORS, GURUVAYOOR ROAD, POONKUNNAM, THRISSUR, REP. BY POWER OF ATTORNEY HOLDER, P. BALAGANGADHARAN, S/O. ARAVINDAKSHAN NAIR, SALES SUPERVISOR, M/S. SASTHA MOTORS VS. STATE OF KERALA REP. BY THE PUBLIC PROSECUTOR, HIGH COURT OF KERALA ERNAKULAM AND ANOTHERS. [LAWS(KER)-2015-11-191] [REFERRED TO]
SWASTIKA ENTERPRISES VS. STATE OF KERALA [LAWS(KER)-2019-9-185] [REFERRED TO]
MADAN TIWARI VS. STATE OF CHHATTISGARH [LAWS(CHH)-2019-5-91] [REFERRED TO]
DCS LIMITED & ORS VS. STATE OF WEST BENGAL [LAWS(CAL)-2017-12-28] [REFERRED TO]
STATE OF GUJARAT VS. MAHENDRA SUBHASHBHAI VANKHEDE [LAWS(GJH)-2016-7-256] [REFERRED TO]
GANESH ANHYDRIDE LTD AND OTHERS VS. ADDL CHIEF JUDICIAL MAGISTRATE AND ANOTHER [LAWS(ALL)-2019-7-18] [REFERRED TO]
SATYA NARAYAN KOOLWAL S/O LATE SHRI JAGANNATH PRASAD VS. DEV VART JANGIR SON OF SHRI OM PRAKASH JANGIR [LAWS(RAJ)-2017-4-149] [REFERRED TO]
RAJENDRA UPADHYAY VS. PREM MOTORS PVT. LTD. [LAWS(MPH)-2016-10-65] [REFERRED TO]
RAMPAL SINGH VS. ASHIRVAD S/O SRI RISHIRAJ [LAWS(UTN)-2019-9-35] [REFERRED TO]
MR. D. JEROME JAY KUMAR VS. MR. D. PHILLIP [LAWS(KAR)-2017-7-43] [REFERRED TO]
UNNIKRISHNAN S/O. SREEDHARAN, AGED 48 YEARS, PADMASREE, KUMARAPURAM, MEDICAL COLLEGE P.O., THIRUVANANTHAPURAM VS. JAYARAM, S/O. LEKSHMANAN, JAYA NIVAS, TC 31/387, ATTUVARAMBU, ANAYARA P.O., THIRUVANANTHAPURAM [LAWS(KER)-2017-1-105] [REFERRED TO]
CHIMANBHAI BACHUBHA KABARIYA VS. HDFC BANK LTD [LAWS(GJH)-2018-7-64] [REFERRED TO]
URMILABEN PARESHBHAI KOTHIYA VS. HDFC BANK LTD [LAWS(GJH)-2018-7-65] [REFERRED TO]
M ANNADURAI MANICKAM VS. SWISS SINGAPORE INDIA PRIVATE LIMITED & ANR [LAWS(CAL)-2019-4-11] [REFERRED TO]
BHAGWANDAS GANGARAMBHAI VS. PRADIPKUMAR HARGOVANBHAI [LAWS(GJH)-2022-7-16] [REFERRED TO]
DOMINA DE SOUZA VS. KAMLAKANT SAWANT SON OF LATE UPENDRA LADCO SAWANT [LAWS(BOM)-2018-7-169] [REFERRED TO]
VINAY KUMAR SOOD VS. BALI NAGVANSHI [LAWS(CHH)-2022-5-3] [REFERRED TO]
BRAHMANAND MAMLEKAR VS. KISHOR SURYAKANT BORKAR [LAWS(BOM)-2021-11-322] [REFERRED TO]
RAJIV MALHOTRA VS. STATE OF U.P. [LAWS(ALL)-2024-5-73] [REFERRED TO]
CHINTAN JAYANT MANJARATKAR VS. RASHIDKHAN RASULKHAN PATHAN [LAWS(GJH)-2019-5-12] [REFERRED TO]
DILIPKUMAR NALINKANT GANDHI VS. STATE OF GUJARAT & 2 ORS [LAWS(GJH)-2015-7-217] [REFERRED]
SHAMROCK CHEMIE PRIVATE LIMITED AND 2 VS. STATE OF GUJARAT AND 1 [LAWS(GJH)-2017-4-528] [REFERRED TO]
JITENDRA JETHA PATEL VS. STATE OF GUJARAT [LAWS(GJH)-2017-3-643] [REFERRED TO]
DHIRUBHAI RANANBHAI BHANDERI VS. STATE OF GUJARAT [LAWS(GJH)-2018-7-53] [REFERRED TO]
SENTILNATHAN VS. THE FORTUNE GROUP PROPSTAR L.L.P. [LAWS(KAR)-2015-12-4] [REFERRED TO]
AMANDEEP RICE MILL GRAM UDYOG SAMITI VS. PUNJAB STATE COOPERATIVE SUPPLY AND MARKETING FEDERATION LIMITED [LAWS(P&H)-2015-2-156] [REFERRED TO]
RAVI KUMAR VS. STATE OF HIMACHAL PRADESH [LAWS(HPH)-2023-5-32] [REFERRED TO]
NAZAMA TRADERS VS. ARIHANT MARKETING [LAWS(KAR)-2023-9-143] [REFERRED TO]
SRI. V.V. CHARI VS. M/S. MEENAKSHI DEVELOPERS [LAWS(KAR)-2018-8-404] [REFERRED TO]
S.V. ENTERPRISES VS. TULASIRAM.V [LAWS(KAR)-2019-12-39] [REFERRED TO]
SERVE & VOLLEY OUTDOOR ADVERTISING PVT LTD VS. TIMES INNOVATIVE MEDIA LTD [LAWS(KAR)-2019-4-318] [REFERRED TO]
T. KARTHIK RAJA VS. M. PRABHAKAR [LAWS(KAR)-2021-1-118] [REFERRED TO]
NARPAT MOTISINGH PUROHIT VS. STATE OF GUJARAT [LAWS(GJH)-2021-12-1341] [REFERRED TO]
DIPANKAR MAJUMDER VS. SANDIPAN GHOSH [LAWS(TRIP)-2019-4-60] [REFERRED TO]
LORDS CREATIVE INFRA SOLUTIONS PVT. LTD. AND ORS. VS. STATE OF UTTARAKHAND AND ORS. [LAWS(UTN)-2020-7-34] [REFERRED TO]
SRIPATI SINGH (SINCE DECEASED) THROUGH HIS SON GAURAV SINGH VS. STATE OF JHARKHAND [LAWS(SC)-2021-10-81] [REFERRED TO]
SHIVANI TYAGI VS. STATE OF U.P. AND 4 OTHERS [LAWS(ALL)-2016-4-241] [REFERRED TO]
NIKHIL P GANDHI VS. STATE OF GUJARAT [LAWS(GJH)-2016-6-110] [REFERRED TO]
MEHRAB LOGISTICS AND AVIATION LIMITED VS. STATE OF U.P. [LAWS(ALL)-2024-2-8] [REFERRED TO]
PADMA VATHY VS. STATE NCT OF DELHI [LAWS(DLH)-2017-3-231] [REFERRED TO]
SANJAY KUMAR BASOYA VS. CANARA BANK [LAWS(DLH)-2017-7-167] [REFERRED TO]
ING VYSYA BANK VS. HANUMANTH B. RAMDURG [LAWS(KAR)-2015-2-229] [REFERRED TO]
SMT. KIRTI VS. SMT. SUGNIDEVI [LAWS(MPH)-2017-9-78] [REFERRED TO]
ASHOK GIRI VS. D.S.RA.P.PRATAP SINGH [LAWS(MAD)-2022-12-265] [REFERRED TO]
DASHRATHBHAI TRIKAMBHAI PATEL VS. HITESH MAHENDRABHAI PATEL [LAWS(SC)-2022-10-4] [REFERRED TO]
M/S. GREENOME MARKETING PVT. LTD. VS. MRS. GEETHA SUGUNAN [LAWS(MAD)-2017-9-35] [REFERRED TO]
RAMA SATELKAR VS. K K SURESH [LAWS(BOM)-2018-10-191] [REFERRED TO]
ICON BUILDCON PVT. LTD. VS. AGGARWAL DEVELOPERS PVT. LTD. [LAWS(DLH)-2014-4-57] [REFERRED TO]
T G LEISURE & RESORTS (P) LTD & ORS VS. RAM KUMAR GUPTA ( HUF) [LAWS(DLH)-2018-10-335] [REFERRED TO]
M/S. GOLD PLUS GLASS INDUSTRY LTD. VS. STATE OF TELANGANA [LAWS(APH)-2016-9-73] [REFERRED TO]
KAILASH VATI VS. M/S LUDHIANA BEVERAGES PVT LTD [LAWS(P&H)-2019-8-104] [REFERRED TO]
SAMPELLY SATYANARAYANA RAO VS. INDIAN RENEWABLE ENERGY DEVELOPMENT AGENCY LIMITED [LAWS(SC)-2016-9-23] [REFERRED TO]


JUDGEMENT

- (1.)Leave granted.
(2.)The only question that arises for consideration in this appeal by special leave is, whether the post-dated cheques issued by the appellants (hereinafter referred to as 'purchasers') as an advance payment in respect of purchase orders could be considered in discharge of legally enforceable debt or other liability, and, if so, whether the dishonour of such cheques amounts to an offence under Section 138 of the Negotiable Instruments Act, 1881 (for short, 'the N.I. Act'). The Delhi High Court in the impugned order has held that to be so.
(3.)The brief facts are these: On 19.02.2007 and 26.02.2007, the purchasers placed two purchase orders for supply of certain aircraft parts with respondent No.1, M/s. Magnum Aviation Pvt. Ltd. (hereinafter referred to as 'supplier'). In respect of these purchase orders, the purchasers also issued two post-dated cheques dated 15.03.2007 for a sum of Rs.34,57,164/- and 20.03.2007 for a sum of Rs.15,91,820/-. The said cheques were issued by way of advance payment for the purchase orders. One of the terms and conditions of the contract was that the entire payment would be given to the supplier in advance. The supplier says that the advance payment was made by the purchasers as it had to procure the parts from abroad.


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