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Bombay High Court

HEDGEWAR GRAMIN BIGAR SHETI SAHAKARI PAT SANSTHA LTDversusVILAS KACHRU MADAVGADH

Disposal
Transfer to other court

Holding

The appeal is to be transferred to the concerned District and Sessions Court and treated as an appeal under the proviso to Section 372 CrPC, with the time spent before the High Court excluded for limitation purposes.

Summary

The appellant, Hedgewar Gramin Bigar Sheti Sahakari Pat Sanstha Ltd, appealed against an acquittal under Section 138 of the Negotiable Instruments Act. Relying on the Supreme Court’s decision in Celestium Financial v. Ganasekaran (2025), the appellant sought transfer of the appeal to the District and Sessions Court. The High Court, after considering the precedent, ordered the matter to be transferred to the appropriate District Court. The transferred appeal is to be treated as an appeal under the proviso to Section 372 of the Code of Criminal Procedure. Additionally, the Court directed that the time spent before the High Court be excluded when calculating the limitation period. The order directs the Sessions Court to register the appeal, issue notices, and proceed in accordance with law.

Issues considered

  • Whether an appeal against an acquittal under Section 138 NI Act can be transferred from the High Court to a District and Sessions Court following the Supreme Court’s guidance in Celestium Financial v. Ganasekaran.
  • Whether the appeal should be governed by the proviso to Section 372 of the Code of Criminal Procedure.
  • Whether the period spent prosecuting the appeal before the High Court should be excluded for the purpose of limitation.

Legislation cited

Subjects

  • Section 138
  • Negotiable Instruments Act
  • appeal transfer
  • Code of Criminal Procedure
  • Section 372
  • limitation period
  • Supreme Court precedent
  • criminal appeal

Judgment

2026:BHC-AUG:38660


                                                                    938-Cri-Apeal-677-2006.odt




                          IN THE HIGH COURT OF JUDICATURE OF BOMBAY
                                     BENCH AT AURANGABAD

                              938 CRIMINAL APPEAL NO. 677 OF 2006

                  HEDGEWAR GRAMIN BIGAR SHETI SAHAKARI PAT SANSTHA
                                                 LTD
                                              VERSUS
                                   VILAS KACHRU MADAVGADH
                                                  .…
                 Mr. D. J. Choudhari, Advocate for Appellant
                 Mr. P. N. Sonpethkar, Advocate for Respondent
                                                  .…

                                      CORAM : ABHAY S. WAGHWASE, J.

                                         DATE : August 27, 2026
                 PER COURT :-


                 1.           Learned counsel for the appellant points out that, the

                 instant appeal is preferred against the order of acquittal from offence

                 under Section 138 of the Negotiable Instruments Act. He prays that,

                 now, in view of the decision of the Hon'ble Supreme Court in

                 Celestium Financial v. Ganasekaran Etc. [(2025) SCC OnLine SC

                 1320],    he would contest the appeal before learned District and

                 Sessions Court and hence urges that, the instant appeal be

                 transferred to the District Court.


                 2.           In view of the above, the following order is passed :


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                                 ORDER

      I.    The present proceedings be transferred to the concerned
            District and Sessions Court. Learned Registrar (Judicial) of
            this Court to take further necessary action for transferring
            this matter to the concerned District and Sessions Court,
            immediately.


      II.   The learned Sessions Court to whom this matter will be
            assigned, after registering it, shall issue notice to the
            concerned parties, and thereafter, proceed further with the
            matter in accordance with law.


      III. The concerned Sessions Court shall treat this matter as
            appeal under proviso to Section 372 of the Code of Criminal
            Procedure as per the observations of the Hon'ble Supreme
            Court in the case of Celestium Financial (supra).


      IV.   Learned District and Sessions Judge to exclude the period
            spent in prosecuting instant appeal before this Court while
            calculating the period of limitation.




                                      [ ABHAY S. WAGHWASE, J. ]

SMS




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