The Delhi High Court on Tuesday upheld the conviction of Bollywood actor Rajpal Yadav in a cheque bounce case, paving the way for his imprisonment. The court dismissed Yadav's appeal against a trial court order that had sentenced him to two years of simple imprisonment for dishonouring a cheque of Rs 5 crore.
Case Background
The case dates back to 2014 when Yadav had taken a loan of Rs 5 crore from a businessman named Sanjay Singh. Yadav issued a cheque to repay the loan, but the cheque was dishonoured due to insufficient funds in his account. Singh then filed a complaint under Section 138 of the Negotiable Instruments Act, 1881, which deals with cheque bouncing.
The trial court found Yadav guilty in 2017 and sentenced him to two years of simple imprisonment. Yadav appealed against the conviction in the Delhi High Court, which has now upheld the trial court's order.
High Court's Observation
Justice Anu Malhotra, who heard the appeal, observed that Yadav had failed to make the payment despite the cheque being dishonoured. The court noted that the actor had not disputed the issuance of the cheque or his signature on it. "The petitioner has not been able to show any ground to interfere with the conviction order," the judge said.
The court also rejected Yadav's argument that the loan was taken for a film project that failed, stating that this did not absolve him of his liability to repay the money. "The failure of a business venture cannot be a ground to avoid repayment of a loan," the court observed.
Implications for Yadav
With the High Court dismissing his appeal, Yadav will have to serve the two-year sentence. He is likely to be taken into custody soon. The actor, known for his comic roles in films like "Hungama" and "Chup Chup Ke", has been struggling with financial troubles for several years. He had earlier faced another cheque bounce case filed by a different complainant, which was later settled.
Yadav's lawyer said they would challenge the High Court's order in the Supreme Court. "We respect the court's decision but we believe there are grounds for appeal in the Supreme Court. We will file a petition soon," the lawyer said.
Legal Experts Weigh In
Legal experts say that the High Court's decision underscores the strict approach taken by courts in cheque bounce cases. "The courts have consistently held that the issuance of a cheque carries a promise of payment. If the cheque bounces, the drawer cannot escape liability by citing business failures or other excuses," said senior advocate Rajiv Dutta.
According to the Reserve Bank of India, over 50 lakh cheque bounce cases are pending in various courts across the country, highlighting the prevalence of such disputes. The Negotiable Instruments Act provides for both criminal and civil remedies against the drawer of a dishonoured cheque.
