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HC allowed the appeal, reversing the acquittal of Respondent No. 2 under Section 138 of Negotiable Instruments Act. The court held that the accused failed to rebut statutory presumptions under Sections 118 and 139 of the NI Act. Mere denial of liability without cogent documentary evidence is insufficient to shift the burden of proof. The signature admission on the cheque activates presumptions in favor of the complainant. The impugned judgment was set aside, and the matter was remanded for further proceedings.
HC allowed the appeal, reversing the acquittal of Respondent No. 2 under Section 138 of Negotiable Instruments Act. The court held that the accused failed to rebut statutory presumptions under Sections 118 and 139 of the NI Act. Mere denial of liability without cogent documentary evidence is insufficient to shift the burden of proof. The signature admission on the cheque activates presumptions in favor of the complainant. The impugned judgment was set aside, and the matter was remanded for further proceedings.
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