Cheque bounced due to lack of funds - Presumed liability unless proven otherwise. Issuing security cheque also invites penalty.

Cheque bounced due to lack of funds - Presumed liability unless proven otherwise. Issuing security cheque also invites penalty. https://www.taxtmi.com/highlights?id=81018 Dishonor of cheque due to insufficient funds - failure to rebut presumption u/s 139 of Negotiable Instruments Act. Court must presume cheque issued in discharge of legal liability, burden on accused to prove contrary. Issuing cheque as security attracts liability u/s 138 as per Supreme Court precedents. Accused admitted receiving notice, cheque dishonored for insufficient funds despite notice of demand. All ingredients of Section 138 satisfied. Compensation of Rs. 2,40,000 not excessive. Revision dismissed. en-us Wed, 04 Sep 2024 08:17:35 +0530 Wed, 04 Sep 2024 08:17:35 +0530 TaxTMI RSS Generator Cheque bounced due to lack of funds - Presumed liability unless proven otherwise. Issuing security cheque also invites penalty. https://www.taxtmi.com/highlights?id=81018 Dishonor of cheque due to insufficient funds - failure to rebut presumption u/s 139 of Negotiable Instruments Act. Court must presume cheque issued in discharge of legal liability, burden on accused to prove contrary. Issuing cheque as security attracts liability u/s 138 as per Supreme Court precedents. Accused admitted receiving notice, cheque dishonored for insufficient funds despite notice of demand. All ingredients of Section 138 satisfied. Compensation of Rs. 2,40,000 not excessive. Revision dismissed. Highlights Indian Laws Wed, 04 Sep 2024 08:17:35 +0530 https://www.taxtmi.com/highlights?id=81018