Section 138 of NI Act Archives

‘Typical example of frivolous litigants abusing the Court process’; Jharkhand HC quashes criminal proceedings against Century Cement

The Court stated that when the case under Section 138 of the Negotiable Instruments Act, 1881 was already filed by the petitioners, Respondent 2 had all the opportunity to defend in that pending complaint case, and without doing so, present complaint case was filed implicating the petitioners.

Case Briefs High Courts

IBC proceedings don’t bar liability under Section 138 of NI Act: MP High Court

The Court held that the proceedings under Section 138 of the Negotiable Instruments Act, 1881 are penal in nature and not akin to civil recovery proceedings.

Case Briefs High Courts

Calcutta High Court affirms conviction under Section 138 of NI Act; upholds Lower Courts’ findings on Part Payment Evidence

Calcutta High Court upheld the lower courts’ conclusion regarding the unreliability of Exhibit A and Exhibit B as the petitioners’ defense did not raise a reasonable doubt.

Case Briefs High Courts

Even a voluntarily signed blank cheque leaf would attract presumption under section 139 of NI Act: Kerala High Court

Kerala High Court stated that the petitioner failed to adduce any cogent evidence to prove that the cheque in question was not aimed at discharging any legally enforceable debt.

Case Briefs Supreme Court

Initiation of IBC proceedings does not absolve Company Directors/Signatories of criminal liability under Section 138 NI Act: SC

The Supreme Court observed that the scope of nature of proceedings under the two Acts are quite different and would not intercede each other.

Case Briefs Supreme Court

Dishonour of Cheque – S. 141 NI Act| Complainant only supposed to have general knowledge of person(s) in charge of company/firm; Burden on Director/Partner to prove their innocence: SC

“Quashing of a complaint is a serious matter. Complaint cannot be quashed for the asking. For quashing of a complaint, it must be shown that no offence is made out at all against the Director or Partner.”

Case Briefs Tribunals/Commissions/Regulatory Bodies

Can post-dated cheque issued for repayment of principal amount be taken as unqualified admission of debt? NCLT Allahabad decides

National Company Law Tribunal, Allahabad (NCLT): The bench of Rajasekhar V.K., Judicial Member and Virendra Kumar Gupta, Technical Member decided that for

Case Briefs High Courts

Ker HC | No bar to simultaneous continuance of a criminal proceeding and a civil proceeding, if the two arise from separate causes of action

Kerala High Court: R. Narayana Pisharadi, J. dismissed a petition praying for quashing the criminal proceedings against the petitioner initiated under Section

Case Briefs High Courts

Bom HC | Director who resigned before issuing of cheques held not liable under S. 138 r/w S. 141 of NI Act for dishonour thereof

Bombay High Court: S.S. Shinde, J. allowed a criminal application filed against the order of the Magistrate whereby he rejected the application filed