Acquittal Upheld: No Section 138 NIA Liability Where Power of Attorney Lacked Personal Knowledge and Debt Not Legally Recoverable

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....The HC dismissed the revision and upheld the acquittal by the Additional Sessions Judge in a Section 138 NIA prosecution. The court held the POA-holder lacked the requisite personal knowledge to verify the complaint or to be a competent witness, as the POA did not evidence authority to depose nor show firsthand knowledge of the underlying transaction. The cheque, deposited and returned for "funds insufficient" after cancellation of an agreement, did not establish a legally enforceable debt owed to the complainant. The HC affirmed that Section 138 does not apply where debt is not legally recoverable; the accused's burden to rebut the presumption was properly considered and acquittal was lawful.....