Kerela High Court :: Dishonour of cheque due to closure of bank account - Two different situations:
a)where a person after issuing a cheque to another, closes that account :: This situation, apart from the fact that it may invite another offence, would certainly be an offence under Section 138 of the N.I Act
b)where a person after closing the account with the bank, manages to issue a cheque to another from that account he had already closed :: This situation deals with two totally different situations ::
(i)The account is being closed by the bank on the demand of the account holder himself and thereafter the account holder manages to issue a cheque to another from that account he had already closed :: In this case, it would be the offence of cheating, since the cheque was intentionally issued to the payee to cheat him with the knowledge that there was no live account. In that case, it would not be an offence under Section 138 of the N.I Act, since there was no live account at the time when the cheque is issued.
(ii)The bank on its own volition closes the account by itself, without the knowledge and consent of the account holder; say for example, by treating the account as a non-performing account, and without the knowledge that the account was closed by the bank, the account holder issues a cheque to another from that account :: In this case, it would not be an offence of cheating, since the cheque was issued bonafide by believing that the account remained alive; whereas, the dishonour of that cheque would invite an offence under Section 138 of the N.I Act.
V. Muralidharan Vs. V.A. Kumaran