Civil Law – Recovery of Money – Execution of Promissory Note – Appellant contested the execution of the promissory note by the deceased Ramachandran, alleging it was fabricated – Trial court dismissed the suit for lack of conclusive proof, but the first appellate court reversed the decision, holding that oral evidence of witnesses substantiated the claim despite adverse exp...
Civil Law – Cheque Bounce – Suit for Recovery of Money – Plaintiff, a coffee trading company, claimed that the defendant issued a cheque for ₹14,07,456 to clear outstanding dues – Cheque was dishonored due to insufficient funds – Trial Court dismissed the suit, finding that the cheque was issued in favor of the company's chairman in his personal capacity, not th...
Civil Law – 138 NI Act - Recovery of Money – Cheque Issued in Personal Name of Managing Director – Plaintiff Company’s Locus Standi – The plaintiff company filed a suit for recovery of money based on a cheque issued in the personal name of its Managing Director, V.G. Siddartha Hegde – Held: The company, being a separate legal entity from its members, had no righ...
Cheque Bounce – Section 138 of the NI Act – Dishonour of Cheque – Conviction Upheld – Accused convicted under Section 138 of the NI Act for issuing a cheque of ₹1,50,000 that was dishonoured due to insufficient funds – Trial Court found that the accused did not dispute his signature on the cheque, and failed to rebut the presumption of liability – Appeal to Se...
Negotiable Instruments Act – Section 138 – Security Cheque vs. Legally Enforceable Debt – Conviction Set Aside – Petitioners, Concord Exports, challenged their conviction for cheque dishonor under Section 138, asserting that the cheque for ₹33,51,876 was issued as security in a business transaction and not towards a legally enforceable debt – The trial court had sen...
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...
Criminal Law – Dishonour of Cheque – Appeal Against Acquittal – Application against the acquittal judgment in a case involving the dishonour of a cheque under Section 138 of the Negotiable Instruments Act – The respondent was acquitted by the trial court on the grounds that he successfully rebutted the presumption under Section 139 of the NI Act – The applicant-appell...
Negotiable Instruments – Material Alteration – Appeal against Acquittal – Cheque of Rs.1,30,000 not encashed due to 'Payment Stopped by Drawer' – Allegation of material alteration by adding '1' before Rs.30,000 – Held, material alteration renders instrument void unless made to carry out common intention of original parties – Appellant admitted fi...
Negotiable Instruments – Dishonour of Cheque – Petitioner issued cheque for Rs.80,000/- which was dishonoured due to insufficient funds – Complainant presented cheques for Rs.80,000/- and Rs.64,400/- which were both dishonoured – Complaint filed under Section 138 of N.I. Act – Petitioner claimed innocence and alleged forgery, stating the cheque was a blank cheque misu...
Motor Vehicles Act - Liability of Insurer - Appeal against award of compensation - Insurance policy cancelled due to dishonor of cheque for premium payment - Held, insurer cannot avoid liability unless policy cancellation is communicated to insured before the accident - Requisite provisions under Sections 147(4) and (5) of the Motor Vehicles Act not complied with - Appeal dismissed. [Paras 9, 11, ...