R. Banumathi, J. - (1.) Leave granted.
(2.) This appeal arises out of the judgment of the High Court of Karnataka at Bangalore in Crl. A. No.895 of 2004 in and by which the High Court set aside the acquittal of the appellant and convicted him for the offence under Section 138 of the Negotiable Instruments Act and imposing a fine of Rs. 11,00,000/- (Rupees Eleven Lacs), in default to undergo simple imprisonment for a period of six months. Out of the fine amount, the High Court has directed that a sum of Rs. 10,50,000/- (Rupees Ten Lacs Fifty Thousand) be paid as compensation to the legal representatives of the complainant/Mohammed Hyath.
(3.) The case of the complainant/Mohammed Hyath is that the appellant/accused borrowed a sum of Rs. 10,00,000/- (Rupees Ten Lacs), on 01.01.2002, from him as a loan to develop his A.T.S. Groundnuts Sweets Factory at Bannerghatta Road, Bangalore and undertook to repay it on or before 16.08.2002 with simple interest. Further case of the complainant is that towards discharge of the said liability, the appellant/accused issued a cheque for a sum of Rs. 10,22,419/- dated 14.11.2002 drawn on Karnataka Industrial Co-operative Bank Limited, Bangalore Rural Branch, Chamarajpet, Bangalore. The said cheque, when it was presented for realization, was returned with the endorsement "account closed". After issuing the statutory notice, the complainant had filed a complaint under Section 138 of the Negotiable Instruments Act in C.C. No.40274/2002 before the XVIII ACMM & XX ASCJ, Bangalore City.;