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Bombay High Court

GRASIM INDUSTRIES LTD.versusM/S. GOBIND RAM AND SONS AND ANR.

Decided
Disposal
Disposed Off

Holding

The appeal may be transferred to the Sessions Court, as the proviso to Section 372 CrPC permits the appellant to challenge the acquittal.

Summary

Grasim Industries Ltd appealed the acquittal of M/s Gobind Ram & Sons under Section 138 of the Negotiable Instruments Act, 1881. The appellant argued that, under the proviso to Section 372 of the Code of Criminal Procedure, it has a statutory right to challenge the acquittal and that the appeal should be heard by a Sessions Court. The High Court examined the Supreme Court’s decision in Celestium Financial v. A. Gnanasekaran and several other precedents, finding no legal impediment to transferring the appeal. Consequently, the Court ordered the transfer of the appeal to the appropriate Sessions Court. The appeal was disposed of on the terms of transfer, directing the registrar to forward the record for further adjudication.

Issues considered

  • Whether an appeal against an acquittal under Section 138 NI Act can be transferred to a Sessions Court under the proviso to Section 372 CrPC.
  • Whether the appellant has a statutory right to challenge the acquittal in a higher forum.

Legislation cited

Subjects

  • Section 138 NI Act
  • CrPC Section 372
  • appeal transfer
  • acquittal challenge
  • criminal appellate jurisdiction

Judgment

                                       Digitally
                                       signed by
                                       CHITRA
                          CHITRA   SANJAY
                          SANJAY   SONAWANE
                          SONAWANE Date:
                                       2026.04.02
                                       19:54:41
                                       +0530




Chitra Sonawane                                                                      6-A-115-2008.doc



 IN THE HIGH COURT OF JUDICATURE AT BOMBAY
       CRIMINAL APPELLATE JURISDICTION

                  Criminal Appeal No.115 of 2008

Grasim Industries Ltd
Unit Rajashree Cement
through its Manager (Commercial)
Mr BD Agarwal
Age: 55 yrs, Occ: service
office Add -at 9, Tara Heights,
5th floor, Bombay Pune Road,
Wakdewadi, Pune-411 003
At present- Grasim Industries Ltd
Elbee House, 3rd floor,
Plot No.7/352, Sidhartha Path,
Dhole Patil Road, Pune-411 001                                                … Appellant.
              Vs.

1. M/s Gobind Ram & Sons through
proprietor Mr Nagrani Vaindavatina
3, Gree Park Society, Behind Anand
Park, Aundh, Pune-7/2, Mukathi above
Citizen Coop. Bank, Baner road,
Pune 411 045.

2. The State of Maharashtra                                               …    Respondents.
                        ---
Mr Sumedh S Modak i/by Mr Vijay Killedar for the
appellant.
Ms GP Mulkar, APP for the respondent / State.
                        ---
                             Page No. 1 of 3
                           ____________________________________________


                                    2 April 2026
Chitra Sonawane                                                         6-A-115-2008.doc



                                         Coram : R.N.Laddha, J.
                                          Date : 2 April 2026.
P.C. :

         The present appeal takes exception to the judgment
and order dated 17 January 2006 passed by the Civil Judge,
Senior Division, Pune, in SCC No.1779/2001 whereby
respondent No.1 herein, was acquitted of the offence
punishable under Section 138 of the Negotiable Instruments
Act, 1881.

2.       The learned Counsel appearing on behalf of the
appellant has relied on the judgment of the Hon’ble
Supreme Court in Celestium Financial v. A. Gnanasekaran,
2025 SCC OnLine SC 1320, to submit that by virtue of
proviso to Section 372 of the Code of Criminal Procedure,
1973, the appellant has a statutory right to challenge an
acquittal. It is asserted that the present appeal be transferred
to the Sessions Court so that the appellant can effectively
exercise this right and is not deprived of a proper
adjudicatory forum. Reliance is also placed on the decisions
in Pankaj Mehta vs Vishal Hundar, 2026 SCC OnLine MP
800; Sunil Kumar vs Daljit Kaur, 2025:PHHC:092344; and
Raj Kumar vs Rajender, 2025:PHHC:079740 to submit that

                           Page No. 2 of 3
                         ____________________________________________


                                  2 April 2026
Chitra Sonawane                                                                  6-A-115-2008.doc



there is no impediment for transferring the appeal to the
concerned Sessions Court.

3.    Having considered the submissions and the decisions
cited above, this Court deems it appropriate to transfer the
present appeal to the Court of Sessions having jurisdiction.

4.    Accordignly, the learned Registrar (Judicial) is directed
to ensure prompt transmission of the entire record to the
concerned Sessions Court. Upon receipt, the Sessions Court
shall register the appeal and proceed to decide the same on
its own merits and in accordance with the law expeditiously.

5.    The appeal stands disposed of in the above terms.


                                                                       [R. N. Laddha, J.]




                          Page No. 3 of 3
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                                 2 April 2026


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