Negotiable Instruments – Dishonor of Cheque – Legally Enforceable Debt – The appellant filed a complaint under Section 138 of the NI Act against the respondent, alleging that the respondent issued a cheque of ₹1,00,000 as part of a settlement, which was dishonored – The trial Court acquitted the respondent, holding that the cheque amount was intended as a bribe to secure ...
Recovery of Money – Validity of Promissory Note – Section 118, Negotiable Instruments Act – Execution and Consideration Presumed – The appellant challenged the trial court's decision that the promissory note was valid and binding – Held: Once the execution of a promissory note is admitted or proved, there is a presumption of consideration under Section 118 unless ...
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...
Cheque Dishonour – Appeal Against Acquittal – Appellant challenged trial court’s acquittal of respondent in cheque dishonour case – Court upheld acquittal noting lack of evidence of goods delivery and accused’s liability – Emphasized need for concrete proof to establish guilt beyond reasonable doubt [Paras 2-6, 12-14].
Presumption and Evidence &ndas...
Negotiable Instruments Act – Section 138 – Quashing of Complaint – Petitioner sought quashing of complaint and proceedings under Section 138 NIA – Petitioner argued entire liability had been discharged prior to complaint – Court noted petitioner made payments exceeding the cheque amount – Respondent’s claim for interest not a ground for maintaining the com...
Dishonour of Cheque – Section 138 of the NI Act – Summoning Order Upheld – The petitioner issued two cheques to the respondent institute under the terms of an employment contract, which were dishonoured upon presentation. The petitioner contended that the cheques were issued as security and not for discharging any legally enforceable debt. The trial court took cognizance of the c...
Negotiable Instruments Act, Section 138 – Joint Account Holder Liability – Quashing of Complaint – Accused was arraigned merely as a joint account holder, not as the drawer or signatory of the dishonored cheque – The cheque was issued by the petitioner's husband in his personal capacity – The petitioner is not liable under Section 138 of the Act in the absence of ...
Negotiable Instruments Act – Dishonour of Cheque – Conviction under Section 138 – Cheque issued by the accused for ₹2.00 lakh dishonoured due to insufficient funds – Accused claimed cheque was issued as a security for ₹50,000 and not for a legal liability – Trial Court convicted and sentenced the accused to eight months of simple imprisonment and a fine of ₹2,50...
Cheque Dishonour – Section 138 of the NI Act – Quashing of Proceedings – Petition Dismissed – Petitioner sought quashing of criminal proceedings for cheque dishonour under Section 138 of the NI Act, contending that the cheque was issued as part of a housing loan agreement, and unauthorized amounts were withdrawn from his account by the respondent. The petitioner argued that...
Negotiable Instruments Act – Dishonour of Cheque – Section 138 NI Act – Conviction Upheld – The accused issued a cheque for ₹150,000 in partial discharge of liability towards the complainant for goods supplied. The cheque was dishonoured for insufficient funds, and the accused failed to make payment despite receiving a notice of demand. Both the Trial Court and the Appell...