High Court Affirms Supreme Court’s Celestium Financial Ruling, Clarifies Timeline and Limitation for Appeals Against Acquittals in Cheque-Bounce Cases
Summary
| Category | Data |
|---|---|
| Case Name | ACQA/374/2019 of SHRI SAI FLY ASH BRICKS Vs NARYAN PRASAD KAUSHIK |
| CNR | CGHC010161002019 |
| Date of Registration | 07-05-2019 |
| Decision Date | 02-09-2025 |
| Disposal Nature | DISPOSED OFF |
| Judgment Author | Hon’ble Shri Justice Deepak Kumar Tiwari |
| Court | High Court of Chhattisgarh |
| Bench | Single Judge |
| Precedent Value | High Court decision affirming binding Supreme Court precedent |
| Overrules / Affirms | Affirms Celestium Financial vs. A. Gnanasekaran |
| Type of Law | Criminal Procedure / Negotiable Instruments Act |
| Questions of Law | Whether a complainant can invoke the proviso to Section 372 CrPC to appeal an acquittal under Section 138, NI Act |
| Ratio Decidendi |
The High Court applied the Supreme Court’s Celestium Financial judgment to hold that a complainant has a statutory right to appeal an acquittal under the proviso to Section 372 CrPC. It clarified that such an appeal lies to the same court as a conviction appeal and that limitation need not be insisted upon if the appeal is filed within the period prescribed by the High Court. The Court disposed of the appeal but reserved liberty to the complainant to file within 45 days before the appropriate appellate court. |
| Judgments Relied Upon | Celestium Financial vs. A. Gnanasekaran, 2025 INSC 804 |
| Logic / Jurisprudence / Authorities Relied Upon |
|
| Facts as Summarised by the Court | Appellant challenged the acquittal under Section 138 NI Act by the Magistrate. Counsel invoked the Supreme Court’s decision in Celestium Financial to claim appellate remedy. |
| Citations |
|
Practical Impact
| Category | Impact |
|---|---|
| Binding On | All subordinate courts in Chhattisgarh on procedure for appeals against acquittals |
| Persuasive For | Other High Courts considering remedy under proviso to Section 372 CrPC |
| Follows | Celestium Financial vs. A. Gnanasekaran, 2025 INSC 804 |
What’s New / What Lawyers Should Note
- Confirms that a complainant convicted in a Section 138 NI Act case can appeal an acquittal under the proviso to Section 372 CrPC.
- Sets a 45-day window to file such an appeal before the regular appellate court.
- Directs appellate courts not to insist on limitation if appeal is filed within the 45-day period.
- Provides a clear route for cheque-bounce complainants to challenge acquittals following Celestium Financial.
Summary of Legal Reasoning
- The appellant relied on the Supreme Court’s Celestium Financial judgment, which recognized a complainant’s right to appeal an acquittal under the proviso to Section 372 CrPC.
- The High Court held that the appeal lies to the same appellate forum as an appeal against conviction in the originating court.
- It exercised its discretion to reserve liberty for the complainant to file the appeal within 45 days.
- The Court further directed that limitation would not be insisted upon if appeal was filed within that period.
Arguments by the Parties
Petitioner
- Relied on Celestium Financial (2025 INSC 804) to assert a statutory right of appeal against acquittal under Section 138 NI Act.
- Requested reservation of liberty to file the appeal in view of the newly recognized remedy.
Respondent
- No specific arguments recorded in the judgment.
Factual Background
An appeal was filed against the acquittal of the accused in a Section 138 Negotiable Instruments Act complaint by the Chief Judicial Magistrate, Bilaspur. The appellant invoked the Supreme Court’s Celestium Financial decision to claim the right to prefer an appeal under the proviso to Section 372 CrPC.
Statutory Analysis
- Section 138 NI Act: prescribes penal consequences for cheque dishonour.
- Section 372 CrPC (proviso): grants a complainant the right to appeal an order of acquittal in certain cases.
Procedural Innovations
- High Court sets a specific procedure and timeline (45 days) for filing appeals against acquittals under Section 372 CrPC proviso.
- Direction to appellate courts to waive limitation if the appeal is filed within the prescribed time.
Alert Indicators
- ✔ Precedent Followed – The judgment follows and applies the Supreme Court’s Celestium Financial ruling.
Citations
- Celestium Financial v. A. Gnanasekaran, 2025 INSC 804
- 2025:CGHC:44676
- CNR CGHC010161002019