https://www.taxtmi.com/caselaws?id=759719 Proceedings under Section 138 of the Negotiable Instruments Act were unsustainable where the cheque was dishonoured because the drawer's bank account had been frozen by an Income Tax Department attachment order before presentation. Dishonour memos and bank evidence recorded the reason as "account blocked," and once the account was frozen the drawer could not operate it or give effective banking instructions. On those facts, the account could not be treated as one maintained for the purposes of Section 138, and the statutory ingredients of the offence were not met. The cheque complaint was therefore not maintainable and the proceedings were liable to be quashed. en-us Mon, 30 Sep 2024 00:00:00 +0530 Tue, 08 Oct 2024 07:36:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=759719 Proceedings under Section 138 of the Negotiable Instruments Act were unsustainable where the cheque was dishonoured because the drawer's bank account had been frozen by an Income Tax Department attachment order before presentation. Dishonour memos and bank evidence recorded the reason as "account blocked," and once the account was frozen the drawer could not operate it or give effective banking instructions. On those facts, the account could not be treated as one maintained for the purposes of Section 138, and the statutory ingredients of the offence were not met. The cheque complaint was therefore not maintainable and the proceedings were liable to be quashed. Case-Laws Indian Laws Mon, 30 Sep 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=759719