The HC upheld the dismissal of the complaint under Section 138...

The HC upheld the dismissal of the complaint under Section 138 of the N.I. Act, affirming that the accused successfully discharged the statutory presumption of liability by adducing evidence rebutting the existence of a legally enforceable debt. Although the signatures on the cheques were admitted, the accused demonstrated that the cheques dated December 2016 were backdated, having been originally issued in 2012 and 2014, corroborated by the provenance of the cheque leaflets. The complainant failed to prove the alleged receipt or undertaking and neglected to produce key oral evidence supporting the loan's existence. Consequently, the court found no enforceable debt or liability, validating the magistrate's conclusion that the accused met the burden of proof to negate the presumption under Sections 139 and 118 of the N.I. Act. The appeal was dismissed, confirming the complaint's rejection.

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