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    <title>1990 (10) TMI 386 - KARNATAKA HIGH COURT</title>
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    <description>Dishonour of a cheque for closure of the drawer&#039;s account was held not to fall within Section 138 of the Negotiable Instruments Act, because the provision is confined to dishonour for insufficiency of funds or where the amount exceeds the arrangement with the bank. The court applied strict construction of penal provisions and declined to extend the section by liberal interpretation to cover a closed account. On that basis, no ground was made out to quash the complaint in exercise of inherent jurisdiction, and the dismissal of the complaint was upheld.</description>
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    <pubDate>Fri, 12 Oct 1990 00:00:00 +0530</pubDate>
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      <title>1990 (10) TMI 386 - KARNATAKA HIGH COURT</title>
      <link>https://www.taxtmi.com/caselaws?id=301704</link>
      <description>Dishonour of a cheque for closure of the drawer&#039;s account was held not to fall within Section 138 of the Negotiable Instruments Act, because the provision is confined to dishonour for insufficiency of funds or where the amount exceeds the arrangement with the bank. The court applied strict construction of penal provisions and declined to extend the section by liberal interpretation to cover a closed account. On that basis, no ground was made out to quash the complaint in exercise of inherent jurisdiction, and the dismissal of the complaint was upheld.</description>
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      <pubDate>Fri, 12 Oct 1990 00:00:00 +0530</pubDate>
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