Law: Criminal Procedure Code (V of 1898)

Section: 497

Law: Penal Code (XLV of 1860)

Section: 489F

Law: Constitution of Pakistan, 1973

Section:

Summary:This case highlights that not every dishonoured cheque constitutes an offense under Section 489-F of the Pakistan Penal Code. The court observed that the cheque in question was issued as a guarantee rather than for the repayment of a loan or obligation. Since the complainant failed to provide evidence of payment, the case lacked essential elements to attract Section 489-F. The judgment also reaffirmed that personal liberty is a fundamental right and that bail should generally be granted unless strong reasons exist for refusal.Criminal Procedure Code, 1898 (V of 1898)------S. 497--Pakistan Penal Code, (XLV of 1860), S. 489-F--Bail before arrest has been declined--Leave to appeal filed--Dishonoured of cheque--To fulfil petitioner’s demand, complainant also gave him Rs. 2,00,000/--Eventually, Petitioner failed to complete transaction and complainant started to demand his amount along with compensation--Primarily, agreement in question is executed between Petitioner and “M” regarding plot--The perusal of said agreement indicates that cheque in question was issued as “Guarantee” from petitioner to “M”--The complainant has failed to produce any receipt issued by petitioner while receiving cash amount of 2,00,000/---The tentative assessment of record shows that it is not toward fulfillment of any obligation but rather it was given as security-Prima facie, it does not attract elements of Section 489-F, P.P.C.           [Pp. 9 & 10] A & BDishonoured of Cheque------Every transaction where a cheque is dishonoured may not constitute an offense--The foundational elements to constitute an offense under this provision are issuance of cheque with dishonest intent, cheque should be towards repayment of loan or fulfillment of an obligation, and lastly that cheque is dishonoured      [P. 10] C2013 SCMR 51.Bail------Liberty of a person is a precious right which has been guaranteed by Constitution of Islamic Republic of Pakistan, 1973--By now it is also well settled that it is better to err in granting bail than to err in refusal because ultimate conviction and sentence can repair wrong resulted by a mistaken relief…

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