Criminal Law - Section 138 NI Act - Dishonour of Cheque – Presumption under Section 139 NI Act – Conviction Upheld – Accused admitted issuance and signature on the cheque – Presumption of legal liability under Sections 118 and 139 arose – Accused failed to rebut the presumption by credible defence – Held: Courts below rightly convicted the accused under Section ...
Negotiable Instruments Act – Cheque Dishonour – Material Alteration – Sections 87, 138, 118(a), 139, NI Act – Cheque issued for ₹7 lakhs returned unpaid for “insufficient funds” – Accused admitted issuing cheque but alleged alteration in account number and limited liability of ₹1.92 lakhs – Evidence (CW1 testimony) confirmed alteration from CD-59...
Negotiable Instruments Act – Dishonour of Cheque – Presumption under Section 139 – Effect of signed blank cheque – Accused admitted signature but contended cheque was issued as security and misused – Held: once signature admitted, statutory presumption of legally enforceable debt arises; mere plea of security cheque or filling up of contents by another does not invali...
Negotiable Instruments – Dishonour of Cheque – Secondary Evidence – Xerox copy of cheque permitted as secondary evidence when original was produced, verified, endorsed and later lost – Trial Court order refusing secondary evidence set aside.
Evidence Act – Secondary Evidence – Sections 63 & 65 – Principles reiterated – General rule requires pr...
Criminal Law – Cheque Bounce - Power of Attorney – Locus Standi and Knowledge of Transaction – Section 138 of NIA – Complaint Filed by Power of Attorney Holder – Not Maintainable - The complainant’s Power of Attorney Holder neither witnessed the transaction nor had sufficient knowledge of the facts as required under law – The Supreme Court mandates specifi...
Criminal Law – Dismissal for Non-Prosecution – Section 256 CrPC – Complaint under Section 138 NI Act – Acquittal Set Aside – The Magistrate had dismissed the complaint and acquitted the accused for absence of complainant and counsel on two dates – The High Court held that such dismissal was harsh and in violation of principles of natural justice – Explaine...
Negotiable Instruments Act – Dishonour of Cheque – Section 138 NI Act – Conviction and Sentence – Compounded by Settlement – Petitioner convicted under Section 138 NI Act for dishonour of cheque of Rs.17 lakhs and sentenced to six months’ imprisonment with Rs.2 lakhs compensation – Appellate Court enhanced compensation to Rs.5 lakhs – During pendency...
Cheque Dishonour – Sections 138, 139 NI Act – Presumption of Legally Enforceable Debt – Conviction Upheld – Petitioner admitted issuance and signatures on cheque; defence of blank cheques misused found improbable; no legal action taken against complainant for alleged misuse – Held: Presumption under Sections 118(a) & 139 NI Act unrebutted – Conviction justif...
Negotiable Instruments Act – Section 138 – Compounding of Offence – Conviction Quashed – Appellant convicted for dishonour of cheque of ₹5 lakhs – Courts below upheld sentence of six months’ simple imprisonment and ₹1,000 fine – During pendency of SLP, parties amicably settled the matter and complainant filed affidavit of no objection – Held: Sec...
Negotiable Instruments Act – Section 138 – Fresh Cause of Action Permitted if Earlier Notice Was Invalid – Appellant sought to quash prosecution under Section 138 NI Act on the ground that a prior notice had already been sent and no complaint was filed within the statutory period – Held: The earlier notice dated 1.12.1995 was not issued within 15 days of dishonour of cheque...