Negotiable Instruments Act – Section 138 Acquittal – High Court Dismisses Appeal Against Acquittal by Trial Court – Petitioner’s Complaint Lacked Credibility – Discrepancies and Inconsistencies in Petitioner’s Testimony and Evidence – Respondent’s Defence Rebutted Presumptions Under Sections 118(a) and 139 of NI Act – Trial Court’s Findin...
Presumption under NI Act – Rebuttal – Appeal allowed – Appeal against acquittal under Section 138 NI Act – Respondent issued cheque towards loan repayment, which was dishonored – Trial Court acquitted respondent, failing to properly apply presumption under Sections 118(a) and 139 NI Act – High Court held that once execution of cheque is admitted, presumption of ...
Criminal Procedure – Dismissal of Complaint – The Trial Court dismissed the complaint under Section 256 Cr.P.C. for non-appearance of the complainant on the date fixed for hearing. The complainant argued that his absence was due to an error in noting the date by his counsel. The High Court, upon review, found that the complainant’s presence was not essential on the said date as t...
Negotiable Instruments – Dishonor of Cheque – Presumption under Sections 138, 139, and 118(a) N.I. Act – Once the issuance of the cheque is admitted or established, a presumption arises that the cheque was issued for a legally enforceable debt or liability – The burden is on the drawer to rebut this presumption – The Supreme Court found that the respondent failed to a...
Negotiable Instruments Act – Section 138 – Cheque Dishonor – Conviction and Sentence: Petitioner convicted by the trial court for dishonoring a cheque issued to discharge liability. Trial court sentenced petitioner to simple imprisonment for three months and compensation of Rs. 4,80,000/-. On appeal, compensation reduced to Rs. 3,00,000/- by the Additional Sessions Judge, Kullu [...
Negotiable Instruments – Interim Compensation – Interpretation of ‘Drawer’ – High Court’s judgment held that authorized signatories of cheques cannot be considered as ‘drawers’ under Section 143-A, NI Act – Supreme Court affirms this interpretation, emphasizing the clear statutory language and legislative intent – Liability for interim co...
Negotiable Instruments Act – Interpretation of Sections 138 and 143-A – Supreme Court affirms Bombay High Court’s interpretation that the term “drawer” in Section 143-A of the NI Act refers solely to the issuer of the cheque and does not include authorized signatories of the company. The Court held that the primary liability under Section 143-A is on the drawer, which...
Negotiable Instruments Act – Section 138 – Compounding of Offense – Consent Required – The High Court compounded an offense under Section 138 of the N.I. Act without the complainant's consent, invoking Section 482 Cr.P.C. and Section 147 of the N.I. Act – Held: Compounding under Section 147 of the N.I. Act requires the complainant's consent – The High Co...
Civil Procedure – Recovery on Promissory Notes – Defendant appealed against trial court’s decree in favor of the plaintiff for recovery of sums due on two promissory notes – Defendant claimed notes were forged and plaintiff lacked capacity to lend – Trial court’s judgment upheld, appeal dismissed – Defendant’s plea that her name was misstated as Saro...
Negotiable Instruments Act, 1881 – Cheque Dishonor – Respondent accused of dishonoring a cheque issued to discharge a hand loan of Rs. 4,50,000/- – Trial court acquitted the respondent, finding the complainant entitled to Rs. 50,000/- with interest, observing doubts regarding the loan transaction – High Court held trial court erred in assessing evidence and misinterpreted t...