Criminal Procedure Code, 1973
Section 177—Applicability of provisions to NI Act—Provisions contained in Section 177 of the CrPC do not apply to cases under Negotiable Instruments Act while determining the territorial jurisdiction of a court because Section 142 of the NI Act begins with a non obstinate clause and Section 142(2)  uses the expression “only” meaning thereby only those courts which are mentioned in the said sub section will have jurisdiction to entertain the complaint notwithstanding anything contrary provided under the CrPC.
[Para 14]
Negotiable Instruments Act, 1881
Section 138—Dishonour of cheque—Territorial jurisdiction—Petition to quash order taking cognizance of offence and issue of process against the petitioner—Inquiry trial or other proceedings in respect of a case under Section 138 of the Negotiable Instruments Act can be held only by a court within whose local jurisdiction the cheque is delivered for collection i.e. the branch of the bank of the payee where the payee or the holder in due course, as the case may be, maintains the account—Respondent/complainant had presented the cheque in his bank account maintained at Bank at Noida UP) which is beyond the local territorial jurisdiction of the Trial Magistrate—Trial Magistrate did not have territorial jurisdiction to entertain the complaint which is subject matter of the present petition—Contention that the petitioner by participating in the proceedings before the Trial Magistrate and even negotiating the settlement with complainant has acquiesced to the jurisdiction of the Trial Magistrate and he cannot be permitted to challenge the jurisdiction of the Trial Magistrate at this stage—Unmerited—Proceedings before the Trial Magistrate are still at its inception and only evidence by way of affidavits has been filed by the complainant—Witnesses of the complainant are yet to be cross examined—It cannot be stated that the petitioner has by his conduct acquiesced to the jurisdiction of the Trial Magistrate—Even otherwise a Court which lacks inherent jurisdiction to entertain a case cannot be vested with jurisdiction by consent of the parties—Trial Magistrate had no jurisdiction to entertain the complaint filed by the respondent against the petitioner and the co-accused—Impugned order passed by the trial Magistrate is set aside on ground of lack of territorial jurisdiction—Petition allowed.
[Paras 13, 15 to 19]