https://www.taxtmi.com/caselaws?id=109355 A cheque issued after closure of the drawer's bank account is treated as falling within section 138 of the Negotiable Instruments Act because a narrow reading limited to live accounts would undermine the statute's object of preserving cheque credibility in commercial transactions. The statutory presumption of liability under section 139 is rebuttable only on a preponderance of probabilities, and a bare defence that the cheque was given as security is insufficient without credible supporting evidence. The text also notes that closed-account cheques remain actionable and that rebuttal requires tangible proof. en-us Fri, 06 Feb 2004 00:00:00 +0530 Mon, 09 Apr 2012 11:23:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109355 A cheque issued after closure of the drawer's bank account is treated as falling within section 138 of the Negotiable Instruments Act because a narrow reading limited to live accounts would undermine the statute's object of preserving cheque credibility in commercial transactions. The statutory presumption of liability under section 139 is rebuttable only on a preponderance of probabilities, and a bare defence that the cheque was given as security is insufficient without credible supporting evidence. The text also notes that closed-account cheques remain actionable and that rebuttal requires tangible proof. Case-Laws Companies Law Fri, 06 Feb 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109355