The HP State Co-operative Agriculture and Rural Development bank Ltd. vs. Hem Chand Cr.MP(M) No. 1375 of 2025 23.2.2026 Present: Mr. Hamender Singh Chandel, Advocate for the petitioner. None for the respondent. As per report, notice issued to the respondent is duly served, however, there is no representation on his behalf. Therefore, there is no option but to proceed further with the matter as per law. Applicant/complainant has filed the present application for seeking leave to appeal against the judgment of learned Additional Sessions Judge-I, Mandi, camp at Karsog, District Mandi, HP (learned Appellate Courrt). It appears from paras-18 to 20 of the judgment of learned Appellate Court that learned Appellate Court was persuaded to hold that the applicant/complainant had initiated recovery proceedings and therefore, the present proceedings under Section 138 of NI Act are not maintainable. Further, it was held that the cheques were taken as security at the time of advancing of the loan and they could not have been “misused” by the bank by presenting them. Prima facie, the reasons assigned by learned Appellate Court are not sustainable. The fact that the respondent had taken the loan is not disputed, therefore, even if the cheques were handed over at the time of taking the loan, the Bank had the authority to present them in case of default. Mere pendency of the civil proceedings and the recovery in absence of the evidence that some money was recovered will not prevent the bank from initiating the proceedings against the accused. Therefore, there are sufficient reasons to grant leave to appeal. Accordingly, the present application is allowed and the leave to appeal is granted. Application stands disposed of. Cr.MP No. 2414 of 2025 Since the leave to appeal filed by the applicant has been granted vide separate order passed in Cr.MP(M) No. 1375 of 2025, respondent be served by way of bailable warrants in the sum of ₹50,000/- with one surety in the like amount to the satisfaction of Arresting Officer, returnable for 7.4.2026. (Rakesh Kainthla) Judge 23rd February, 2026 (Chander)