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    <title>2024 (11) TMI 44 - MADRAS HIGH COURT</title>
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    <description>Dishonour of a cheque issued from a frozen account may attract Section 138 of the Negotiable Instruments Act, 1881, because freezing or blocking of the account can fall within the same genus as insufficiency of funds, provided the other statutory requirements are met. Allegations that the cheque was only a security cheque and that the prosecution was malicious raised disputed questions of fact about liability and the nature of the instrument, which could not be resolved in quash proceedings under Section 482 CrPC. The complaint was therefore allowed to proceed.</description>
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      <description>Dishonour of a cheque issued from a frozen account may attract Section 138 of the Negotiable Instruments Act, 1881, because freezing or blocking of the account can fall within the same genus as insufficiency of funds, provided the other statutory requirements are met. Allegations that the cheque was only a security cheque and that the prosecution was malicious raised disputed questions of fact about liability and the nature of the instrument, which could not be resolved in quash proceedings under Section 482 CrPC. The complaint was therefore allowed to proceed.</description>
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