2009 (2) TMI 908 - HC - Indian Laws

Appeal against acquittal under Section 138 NI Act dismissed; accused successfully rebuts presumption. Discrepancies in evidence noted.

The appeal against acquittal under Section 138 of the Negotiable Instruments Act, 1881 was dismissed. The accused successfully rebutted the presumption ... - Issues involved: Appeal against acquittal under Section 138 of the Negotiable Instruments Act, 1881.Summary:The Complainant lent a sum of Rs. 1.10 lacs to the accused against a pronote and a blank signed cheque. The completed cheque was dishonoured due to insufficient funds in the accused's account. The accused claimed to have made partial payments, supported by passbooks and cash payments. The trial Court found discrepancies in the evidence, noting that the Complainant admitted receiving only Rs. 8,000 from the accused. The Court also highlighted that the Complainant did not have authority to complete the cheque for Rs. 1.10 lacs. Citing a previous case, the Court emphasized that if a cheque is issued for an amount exceeding the due sum, Section 138 of the Act does not apply. Consequently, the accused successfully rebutted the presumption that the cheque was issued to settle the debt. The appeal was dismissed, and the Complainant was ordered to pay Rs. 5,000 as costs to the accused.