https://www.taxtmi.com/caselaws?id=217283 The Supreme Court held that prosecution based on a second or successive dishonour of a cheque is permissible under Section 138 of the Negotiable Instruments Act, overruling the previous decision. The Court clarified that each dishonour followed by a statutory notice and failure to pay constitutes a fresh cause of action, emphasizing the importance of purposive interpretation to uphold the legislative intent of maintaining the credibility of cheques and the banking system. The case was remitted for further proceedings before the regular Bench. en-us Wed, 26 Sep 2012 00:00:00 +0530 Fri, 17 Jan 2014 11:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=217283 The Supreme Court held that prosecution based on a second or successive dishonour of a cheque is permissible under Section 138 of the Negotiable Instruments Act, overruling the previous decision. The Court clarified that each dishonour followed by a statutory notice and failure to pay constitutes a fresh cause of action, emphasizing the importance of purposive interpretation to uphold the legislative intent of maintaining the credibility of cheques and the banking system. The case was remitted for further proceedings before the regular Bench. Case-Laws Companies Law Wed, 26 Sep 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=217283