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Criminal LawSupreme Court of India

Rekha Sharad Ushir v. Saptashrunga Mahila Nagari Sahkari Patsanstha Ltd.

Criminal Appeal · 2025 INSC 399Decided 26 Mar 2025
Crl.A. No.-000724-000724 - 2025
Justice Abhay S. Oka · Justice Ujjal Bhuyan

Background

The appellant, an accused in a Section 138 NI Act complaint filed by a credit cooperative society, had earlier settled a first loan-related cheque case and was acquitted after repaying the amount. A second cheque, allegedly issued for a later loan, was dishonoured and became the basis of a fresh complaint. Before the complaint was filed, the appellant had twice written to the society asking for the loan documents so she could reply to the legal notice, but the society never supplied them and did not disclose these two letters when it filed its complaint or its sworn statement before the magistrate.

Decision Breakdown

The Supreme Court held that a complainant who suppresses material facts and documents while setting criminal law in motion cannot be permitted to prosecute on that complaint, since courts must not be used as a tool for such abuse of process. It found that the society's complaint and statement on oath omitted the appellant's two letters demanding documents, and only in a belated additional affidavit did the society claim (unconvincingly, since the alleged acknowledgment carried no date) that documents had been supplied. Because these suppressed letters could have changed the magistrate's assessment of whether there were sufficient grounds to issue process, the High Court should have quashed the complaint instead of relegating the issue to trial.

Lesson Learnt

A criminal complaint built on facts that suppress the accused's genuine, undisputed correspondence can be thrown out at the threshold; litigants and complainants alike must approach courts with clean hands and full disclosure, and non-disclosure of a demand for documents relevant to a statutory notice can itself be fatal to a Section 138 prosecution.

Rekha Sharad Ushir v. Saptashrunga Mahila Nagari Sahkari Patsanstha Ltd. – Legal Case Shots | LegalAware