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        2022 (6) TMI 817 - HC - Indian Laws

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        Presumption of notice service under Section 138 complaint cannot be rejected at the summoning stage In a prosecution under Section 138 of the Negotiable Instruments Act, service of a demand notice sent by registered post to the correct address is ...
                        Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.

                            Presumption of notice service under Section 138 complaint cannot be rejected at the summoning stage

                            In a prosecution under Section 138 of the Negotiable Instruments Act, service of a demand notice sent by registered post to the correct address is presumed under Section 27 of the General Clauses Act and Section 114 of the Evidence Act. The complaint need not specifically plead that a returned notice must be deemed served. Whether service was actually effected or rebutted is a matter for evidence and is ordinarily not to be decided at the summoning stage. The revisional court was therefore not justified in setting aside the summoning order on the ground of deficient pleading about notice service.




                            Issues: Whether the revisional court was justified in setting aside the summoning order in a complaint under Section 138 of the Negotiable Instruments Act, 1881 on the ground that the complaint did not specify the date of service of the demand notice and the presumption of service stood rebutted.

                            Analysis: When notice is sent by registered post to the correct address, a presumption of service arises under Section 27 of the General Clauses Act, 1897 and Section 114 of the Indian Evidence Act, 1872. The complaint is not required to specifically plead that the notice, though returned unserved, must be deemed to have been served. Whether service was in fact effected or rebutted is a matter for evidence and cannot ordinarily be decided while examining a summoning order. At the stage of taking cognizance, the court is required only to see whether the statutory requirements are prima facie satisfied.

                            Conclusion: The revisional court erred in interfering with the summoning order. The notice was to be treated as duly served for the purpose of the complaint, and the issue of disputed service was left to be determined in trial.

                            Ratio Decidendi: In a prosecution under Section 138 of the Negotiable Instruments Act, 1881, service of demand notice sent by registered post to the correct address is presumed, and a challenge to such service raises a matter of evidence that cannot be ined at the stage of quashing or revisional interference with summoning.


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                            ActsIncome Tax
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