Bihar: Ex-PACS chief fined ₹1.5 crore for dishonour of cheque

Former president of a primary agriculture credit society in Bihar has been fined ₹1.50 crore for dishonouring a cheque worth ₹1.25 crore. Failure to pay the fine will result in a two-year imprisonment.

A court of additional chief judicial magistrate (ACJM-7) in Bihar’s Aurangabad has awarded a fine of ₹1.50 crore to former president of the primary agriculture credit society (PACS) Sunil Kumar Yadav in a case involving the dishonour of a cheque worth ₹1.25 crore.

(Representative Photo)

The ingredients of Section 138 of the Negotiable Instruments (NI) Act have been established by the complainant and the accused has failed to rebut the statutory presumption as contemplated under the Act, observed the court.

The court of ACJM Madhvi Singh also ordered a two-year imprisonment upon failing to pay the fine.

“As such, in my considered opinion, the accused has committed an offence under Section 138 read with Section 142 of the NI Act and shall be punished for the same,” read the court order.

“Accordingly, the court imposes a fine of 1,50,50000 crore (one crore, fifty lakh and fifty thousand) on Sunil Kumar Yadav, to be paid in five months, failing which he has to serve two-year simple imprisonment,” the order further stated.

According to the plaintiff’s counsel Satish Kumar Snehi, between August 23 and August 30 in 2018, Arun provided rice worth ₹1,26,75000 crore against which Sunil Yadav had provided him with a cheque.

However, the cheque was dishonoured.

According to defence lawyer Lakshman Yadav, Sunil Yadav had already paid Rs.25.50 lakh to Arun on the directive of the court during the hearing of the matter for interim relief.