Legal Case Summary

Case Details
Case ID 052fc785-feca-4a5d-adee-49551c9202d5
Body View case body.
Case Number W.P. No. 9543 of 2013
Decision Date Dec 16, 2014
Hearing Date
Decision The Lahore High Court set aside the impugned order dated 15.07.2013 which directed the registration of a criminal case against the petitioner. The court found that the cheque issued by the petitioner was a guarantee related to 'Qarz-e-Hasna' and that non-payment of such a cheque does not constitute a criminal liability under Section 489-F of the Pakistan Penal Code. The court emphasized that the Ex-Officio Justice of Peace had erred in law and that the cheque was an acknowledgment of civil liability rather than a dishonest issuance as defined by law. Therefore, the constitutional petition was allowed, and the order was deemed to suffer from legal infirmity.
Summary This case revolves around the interpretation of 'Qarz-e-Hasna' within the context of criminal liability for cheque bouncing under Pakistani law. The Lahore High Court addressed the implications of the Criminal Procedure Code and the Pakistan Penal Code, focusing on the distinction between civil and criminal liability. The ruling clarified that issuing a cheque as a guarantee for a loan, particularly under the Islamic concept of 'Qarz-e-Hasna', does not amount to dishonesty or criminal conduct. This landmark decision emphasizes the importance of understanding the nature of financial obligations in Islamic finance and its legal repercussions, providing guidance for future cases involving similar issues. Keywords such as 'Qarz-e-Hasna', 'cheque bounce', 'criminal liability', 'Lahore High Court', and 'Islamic finance' are essential for SEO optimization, targeting legal professionals and scholars interested in financial law and its intersection with Islamic principles.
Court Lahore High Court
Entities Involved
Judges ABDUS SATTAR ASGHAR, JUSTICE
Lawyers Rana Muhammad Nazir Saeed, Mirza Muhammad Saleem Baig, Hafiz Muhammad Naveed Akhtar
Petitioners
Respondents EX-OFFICIO JUSTICE OF PEACE, ETC.
Citations 2015 SLD 1107, 2015 PLJ 346
Other Citations Not available
Laws Involved Criminal Procedure Code (V of 1898), Constitution of Pakistan, 1973, Pakistan Penal Code, 1860
Sections 22-A6(iii), 22-A, B, 199, 489-F