https://www.taxtmi.com/caselaws?id=213673 Section 138 of the Negotiable Instruments Act applies where a cheque is issued towards a legally enforceable debt or other liability and is dishonoured; the drawer's status as a guarantor does not bar prosecution merely because the principal borrower has not first been proceeded against. The court treated the guarantor's criminal exposure under cheque dishonour law as distinct from co-extensive civil liability. A drawer who signs and hands over a blank cheque gives implied authority to the holder to complete it, and liability cannot be avoided simply because the payee filled in the particulars. The blank cheque defence was rejected, and the complaint was allowed to proceed. en-us Thu, 05 May 2011 00:00:00 +0530 Wed, 25 Jul 2018 16:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=213673 Section 138 of the Negotiable Instruments Act applies where a cheque is issued towards a legally enforceable debt or other liability and is dishonoured; the drawer's status as a guarantor does not bar prosecution merely because the principal borrower has not first been proceeded against. The court treated the guarantor's criminal exposure under cheque dishonour law as distinct from co-extensive civil liability. A drawer who signs and hands over a blank cheque gives implied authority to the holder to complete it, and liability cannot be avoided simply because the payee filled in the particulars. The blank cheque defence was rejected, and the complaint was allowed to proceed. Case-Laws Indian Laws Thu, 05 May 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=213673