Courts must advance remedy while interpreting statutes: SC

New Delhi, June 10 (UNI) In a landmark ruling, the Supreme Court has held that the courts, while interpreting a statute, must adopt a construction which supresses mischief and advances remedy.

The above stated rule of interpretation is also known as the 'Rule of Purposive Construction or Mischief Rule.' A bench comprising Mr Justice B P Singh and Mr Justice R V Raveendran gave the ruling on May 25 while upholding the Karnataka High Court judgment of July 19, 2004, dismissing seven appeals filed by one D Vinod Shivappa.

The appellant had sought the quashing of the complaints filed under section 138 of the Negotiable Instrument Act for dishonour of cheques.

The Supreme Court directed that the trial court shall proceed with the complaints in accordance with law.

The court also ruled that ''Nothing stated above shall be construed as expression of an opinion on the merit of the case.'' According to the respondent Nanda Belliappa, the appellant had issued a cheque for Rs 1,25,000 on November 7, 2003 that bounced on account of 'insufficient funds'.

The court, while upholding the High Court judgment, held that section 27 of the General Clauses Act was applicable in cases where service of the notice was denied by the drawer of the cheque and the burden of proving that the drawer had, in fact, not been served was on the drawer himself.

The court also ruled that the question whether the endorsement on the returned envelope had been manipulated was a question of fact and must be considered in the light of evidence on record.

The endorsements on the returned envelopes were 'Addressee always absent during delivery time, hence return to sender' and in the remaining five cases, the notices were returned with the endorsement stating 'Party not in station. Arrival not known'.

The apex court, while remitting the matter to the trial court of Medikeri, Karnataka, ruled that it was for the drawer of the cheque to prove that he had not been served.

UNI AKS/SC PK PM1607