https://www.taxtmi.com/caselaws?id=786514 A cheque presented after a bank merger may still raise a question under Section 138 of the Negotiable Instruments Act if its legal validity is disputed, but where the return memo records dishonour as "Funds Insufficient," the statutory presumption under Section 146 applies. In that situation, whether the cheque had become invalid and whether dishonour was actually due to insufficiency of funds becomes a factual issue for trial. The High Court's inherent power under Section 482 of the Code of Criminal Procedure is not ordinarily used to resolve such disputed factual questions, so quashing of the complaints was refused and the prosecutions were permitted to continue. en-us Tue, 10 Feb 2026 00:00:00 +0530 Sat, 14 Feb 2026 08:29:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=786514 A cheque presented after a bank merger may still raise a question under Section 138 of the Negotiable Instruments Act if its legal validity is disputed, but where the return memo records dishonour as "Funds Insufficient," the statutory presumption under Section 146 applies. In that situation, whether the cheque had become invalid and whether dishonour was actually due to insufficiency of funds becomes a factual issue for trial. The High Court's inherent power under Section 482 of the Code of Criminal Procedure is not ordinarily used to resolve such disputed factual questions, so quashing of the complaints was refused and the prosecutions were permitted to continue. Case-Laws Indian Laws Tue, 10 Feb 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=786514