Allahabad High Court Rules FIR Cannot Be Filed In Cheque Bounce Cases

The Allahabad High Court has ruled that FIRs cannot be registered under Section 138 of the Negotiable Instruments Act in cheque bounce cases.

The court said that only a complaint from a competent officer can empower the magistrate to act. It held that the police violated basic principles of criminal jurisprudence by filing FIRs and charge sheets in such cases.

The bench stressed that the magistrate’s first responsibility is to check for illegality or irregularity in police reports before issuing a summons. It expressed concern that magistrates were passing orders mechanically on irregular police reports, undermining judicial investigation.

The court warned that careless use of jurisdiction damages the credibility of the justice system.

Guidelines to Officials and District Judges

The High Court directed the Chief Secretary, Additional Chief Secretary (Home), and Additional Director General (Prosecution) to issue clear guidelines. It ordered district judges to organise awareness programmes to sensitise judicial officers. The aim is to prevent citizens from facing unnecessary harassment due to illegal FIRs.

The court cancelled a magistrate’s order in one such matter and directed fresh action as per law.

Justice Vinod Diwakar issued the ruling while hearing a petition by Sudhir Kumar Goyal of Bulandshahr.

Goyal challenged the legality of an FIR and charge sheet filed against him after cheques issued by him bounced.

38 Special Acts Identified

The court clarified that there are 38 special laws where the police cannot register FIRs. Only a competent officer may file a complaint in court under these provisions.

The list includes the Protection of Women from Domestic Violence Act, Mines and Minerals Act, Consumer Protection Act, and several Environment and Food Safety Acts.

However, the police retain powers to file FIRs under the Narcotic Drugs and Psychotropic Substances Act, Arms Act, Protection of Children from Sexual Offences Act, and Prevention of Corruption Act.

The complainant alleged that Goyal took over ₹30 lakh for plots, later sold them to another buyer, and issued refund cheques that bounced.

The court ruled that a written complaint is mandatory in cheque bounce cases and a police report alone is invalid. It instructed magistrates to act cautiously and avoid mechanical orders.

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