https://www.taxtmi.com/caselaws?id=308688 In Section 138 prosecutions, the real nature of the cheque in the underlying transaction is decisive: a cheque issued as part of consideration or against an existing liability may be enforceable even if described as security, while a purely contingent security cheque may not. A later settlement bars prosecution only if it completely substitutes or extinguishes the earlier liability; where payment under the settlement is not made, the original liability and complaint can survive. The note also states that a sole proprietor may be described alongside the proprietorship trade name without vitiating the complaint, and that a summoning order showing application of mind is not liable to be quashed as mechanical. en-us Mon, 30 Aug 2010 00:00:00 +0530 Thu, 13 Jul 2023 12:59:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=308688 In Section 138 prosecutions, the real nature of the cheque in the underlying transaction is decisive: a cheque issued as part of consideration or against an existing liability may be enforceable even if described as security, while a purely contingent security cheque may not. A later settlement bars prosecution only if it completely substitutes or extinguishes the earlier liability; where payment under the settlement is not made, the original liability and complaint can survive. The note also states that a sole proprietor may be described alongside the proprietorship trade name without vitiating the complaint, and that a summoning order showing application of mind is not liable to be quashed as mechanical. Case-Laws Indian Laws Mon, 30 Aug 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=308688