Concessional penalty for search-disclosed unreconciled jewellery applies where substantive disclosure conditions are met despite omission from origina...
HC held that under Section 138 of the NI Act, a cheque's dishonour does not automatically constitute an offence. In this case, the petitioner's bank account was provisionally attached by CGST authorities, rendering it inoperable. Since the account was frozen and the petitioner could not access or maintain funds, the essential ingredients of Section 138 were not satisfied. Consequently, the court allowed the petition and quashed the summoning order, recognizing that account attachment prevents the account holder from maintaining sufficient funds for cheque payment.
HC held that under Section 138 of the NI Act, a cheque's dishonour does not automatically constitute an offence. In this case, the petitioner's bank account was provisionally attached by CGST authorities, rendering it inoperable. Since the account was frozen and the petitioner could not access or maintain funds, the essential ingredients of Section 138 were not satisfied. Consequently, the court allowed the petition and quashed the summoning order, recognizing that account attachment prevents the account holder from maintaining sufficient funds for cheque payment.
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