Case Law Analysis

Section 138 NI Act | Right to Cross-Examination Cannot Be Permanently Denied Despite Repeated Non-Appearance : Punjab & Haryana HC Upholds Fair Trial

The Punjab & Haryana High Court ruled that while costs may be imposed for delay, permanently denying the right to cross-examine under Section 138 NI Act violates fair trial principles, even in cases of repeated non-appearance. The judgment reinforces that procedural lapses cannot override fundamental rights of defence, impacting accused persons in cheque bounce cases.

Cassie News NetworkCassie News Network
Mar 27, 2026, 11:54 PM(Updated: Nov 3, 2026)
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Section 138 NI Act | Right to Cross-Examination Cannot Be Permanently Denied Despite Repeated Non-Appearance : Punjab & Haryana HC Upholds Fair Trial

The Punjab and Haryana High Court has reaffirmed that the right to cross-examine a complainant in a cheque dishonour case under Section 138 of the Negotiable Instruments Act is a substantive right essential to a fair trial, even when the accused has delayed proceedings. The Court set aside the trial court’s order closing evidence due to non-appearance, granting one final opportunity for cross-examination subject to costs.

Background & Facts

The Dispute

The respondent, Bijender, filed a complaint under Section 138 of the Negotiable Instruments Act before the Judicial Magistrate First Class, Gurugram, on 05.11.2019, alleging that the petitioner, Ajeet Singh Yadav, issued a cheque for Rs. 1,25,000 which was dishonoured due to insufficient funds. The petitioner appeared as the accused in the proceedings.

Key Facts

  • The complaint was filed on 05.11.2019 (NACT No. 51415-2019)
  • On 21.08.2024, the Trial Court allowed the petitioner’s application under Section 145(2) of the NI Act, granting him the right to cross-examine the complainant
  • The petitioner was given multiple dates to conduct cross-examination: 02.12.2024, 26.05.2025, 28.07.2025, and 15.10.2025
  • On each of these dates, the petitioner or his counsel failed to appear
  • On 04.04.2025, the Trial Court imposed costs on the petitioner for delay
  • On 20.01.2026, the Trial Court closed the complainant’s evidence, citing deliberate delay, and adjourned the matter for defence evidence
  • The petitioner filed the present petition under Section 528 of the Bharatiya Nagrik Suraksha Sanhita, 2023 on 23.03.2026

Procedural History

  • 05.11.2019: Complaint filed under Section 138 NI Act
  • 21.08.2024: Trial Court allowed application under Section 145(2) for cross-examination
  • 02.12.2024: Petitioner failed to appear for cross-examination
  • 26.05.2025: Petitioner failed to appear
  • 28.07.2025: Petitioner failed to appear
  • 15.10.2025: Petitioner failed to appear
  • 04.04.2025: Trial Court imposed costs for delay
  • 20.01.2026: Trial Court closed complainant’s evidence and adjourned for defence
  • 23.03.2026: Petitioner filed writ petition under Section 528 BNS

Relief Sought

The petitioner sought quashing of the order dated 20.01.2026 and a direction to grant one final opportunity to cross-examine the complainant, subject to appropriate conditions.

The central question was whether the right to cross-examine a complainant under Section 138 of the Negotiable Instruments Act can be permanently extinguished due to the accused’s failure to appear on multiple dates, even if the non-appearance is claimed to be due to bona fide reasons.

Arguments Presented

For the Petitioner

Learned counsel argued that the right to cross-examine is a fundamental component of a fair trial under Article 21 of the Constitution and Section 145(2) of the NI Act. He submitted that the petitioner’s non-appearance was not intentional or mala fide but due to genuine personal and logistical difficulties. He contended that the Trial Court’s closure of evidence amounted to a denial of natural justice and that the petitioner should be granted one final opportunity, subject to costs.

For the Respondent

The respondent was not represented, and service was dispensed with by the Court on the ground that the issue was narrow and no prejudice would arise to the respondent.

The Court's Analysis

The Court acknowledged that the petitioner’s conduct demonstrated negligence and a pattern of delay, which had already attracted costs on 04.04.2025. However, it emphasized that the right to cross-examine is not a mere procedural formality but a substantive right essential to testing the credibility of the complainant’s testimony. The Court observed:

"The object of criminal trial is to arrive at the truth and to ensure a fair opportunity to both sides. Denial of cross-examination may result in failure of justice."

The Court distinguished between procedural lapses and the erosion of a core fair trial guarantee. It noted that while the petitioner’s conduct warranted penalisation, it did not justify the permanent deprivation of a statutory and constitutional right. The Court held that the Trial Court’s decision to close evidence without exploring whether the delay was wilful or due to unavoidable circumstances was excessive and contrary to the principles of natural justice.

The Court further relied on the foundational principle that criminal trials must balance efficiency with fairness, and that the accused’s right to confront witnesses cannot be sacrificed merely because of past default, especially when no evidence suggests mala fide intent.

The Verdict

The petition was allowed. The impugned order dated 20.01.2026 was set aside to the limited extent that the petitioner is granted one final and effective opportunity to cross-examine the complainant. The petitioner must pay costs of Rs. 5,000 to the complainant before the Trial Court on the next date of hearing. No further opportunity shall be granted. In case of default, the Trial Court’s order dated 20.01.2026 shall revive automatically. All pending applications are disposed of.

What This Means For Similar Cases

Cross-Examination Is a Non-Negotiable Right

  • Practitioners must argue that Section 145(2) of the NI Act guarantees the right to cross-examine, and courts cannot extinguish it due to procedural delays unless there is clear evidence of mala fide intent
  • Courts must record reasons before closing evidence, especially when the accused has been granted multiple opportunities

Delay Demands Costs, Not Dismissal

  • Failure to appear on scheduled dates warrants imposition of costs, not automatic closure of evidence
  • The Court’s directive to pay Rs. 5,000 as costs sets a precedent for proportionate punishment without prejudice to substantive rights

Judicial Discretion Must Be Balanced

  • Trial courts must weigh the accused’s conduct against the right to a fair trial before taking drastic steps
  • This judgment reinforces that natural justice overrides procedural expediency in criminal proceedings under the NI Act

Case Details

Ajeet Singh Yadav v. Bijender

2026:PHHC:045427
PDF
Court
High Court of Punjab and Haryana
Date
23 March 2026
Case Number
CRM-M-15712-2026 (O&M)
Bench
Mandeep Pannu
Counsel
Pet: Suinder K. Daaria
Res:

Frequently Asked Questions

No. The Court held that failure to appear does not automatically justify closing evidence. The right to cross-examine under Section 145(2) is substantive and can only be forfeited if there is clear evidence of mala fide intent or deliberate sabotage of proceedings.
Denial of cross-examination violates the principles of natural justice and fair trial under Article 21 of the Constitution. It renders the trial fundamentally flawed and may lead to quashing of conviction or, as in this case, setting aside the order closing evidence.
Yes. The Court explicitly directed payment of Rs. 5,000 as costs to the complainant before the next hearing, affirming that procedural defaults may be penalised financially without depriving the accused of their statutory right to cross-examine.
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Disclaimer

This article is for informational purposes only and does not constitute legal advice. The views expressed are based on the judgment analysis and should not be taken as professional counsel. Please consult with a qualified attorney for advice specific to your situation.