Acquittal in Section 138 NI Act reversed dishonour
Case BriefsDistrict Court

“Acquittal in cheque dishonour case was set aside on the grounds that mere clerical discrepancies in the actual amount due and the amount mentioned in the demand notice under Section 138 proviso (b) NI Act do not negate the existence of a legally enforceable liability and mere denial is not enough to rebut the presumption under Section 139.”

Enquiry into Debt or Liability
Case BriefsSupreme Court

“Under Section 139 of the NI Act, there is a presumption that the holder of a cheque received the cheque of the nature referred to in Section 138 NI Act for the discharge, in whole or in part, of any debt or other liability. This presumption can be rebutted by evidence led in trial.”