A. Negotiable Instruments Act, 1881—Section 138—Sections 118 and 139—Dishonour of cheque—Dismissal of complaint—Rebuttal of presumption—Held: Appellant/complainant failed to establish source of funds for alleged loan of Rs 5,00,000 and did not produce demand promissory note—Contradictions in her evidence regarding financial capacity and prior dealings created serious doubt—Respondent successfully rebutted statutory presumptions under Ss. 118 and 139 by cross-examination and by producing defence documents (Ex. D1 and Ex. D2)—Burden shifted back to complainant, who failed to discharge it—Trial Court’s dismissal of complaint held justified and based on proper appreciation of evidence. (Paras 2 to 5) B. Indian Evidence Act, 1872—Section 145—Contradictions—U...

Negotiable Instruments Act, 1881—Sections 118 and 139—Section 138—Dishonour of cheque—Statutory presumption—Rebuttal—Financial capacity—Evidentiary value—Held: Presumption that cheque was issued towards discharge of legally enforceable debt is rebuttable—Accused can discharge burden by raising a probable defence on preponderance of probabilities—Where accused questions complainant’s financial capacity and genuineness of transaction, burden shifts on complainant to establish source of funds—Failure to produce contemporaneous evidence such as income tax returns, bank statements or reliable records casts serious doubt on existence of debt—Documents prepared belatedly without supporting material lack probative value—In such circumstances, presumption stands re...

Negotiable Instruments Act, 1881—Section 138—Conviction—Compromise between parties—Setting aside of conviction—Held: Petitioner convicted and sentenced under S. 138 NI Act and appeal dismissed—Subsequently, parties entered into compromise and complainant received entire compensation and expressed no desire to pursue proceedings—In view of settlement, judgment of conviction and sentence set aside—Petitioner acquitted subject to condition of depositing 10% of cheque amount with H.P. Legal Services Authority within stipulated time—Failure to comply to render order ineffective and petitioner liable to undergo sentence—Revision allowed and petitioner directed to be released forthwith unless required in any other case. (Paras 5 to 11) ...

A. Negotiable Instruments Act, 1881—Sections 118 and 139—Section 138—Presumptions and rebuttal—Acquittal—Held: Statutory presumptions regarding consideration and legally enforceable debt operate in favour of complainant but are rebuttable—Accused can discharge burden by raising a probable defence on preponderance of probabilities and need not prove case beyond reasonable doubt—Where complainant fails to establish existence of legally enforceable debt, particularly in cases involving large cash transactions unsupported by documentary evidence, presumption stands rebutted—Appellate Court justified in reversing conviction and acquitting accused—Further, where statutory notice is sent to correct address and returned unserved, presumption of due service arises unless rebutted by accused. (P...

A. Hindu Marriage Act, 1955—Section 13(1)(i)—Evidence Act, 1872—Section 112—Divorce—Paternity—DNA test—Husband disputing paternity of child born during subsistence of marriage—DNA test directed by trial court—Held, DNA test may be ordered to aid adjudication of matrimonial dispute, including allegation of infidelity—However, it cannot be used to declare child illegitimate unless presumption under Section 112 is rebutted by proof of non-access. [Paras 12–13, 17] B. Evidence Act, 1872—Section 112—Presumption of legitimacy—DNA evidence—Strong statutory presumption in favour of legitimacy of child born during marriage—Held, such presumption can be displaced only by clear proof of non-access—DNA test alone insufficient to rebut presump...

Negotiable Instruments Act, 1881—Section 138—Sections 118 and 139—Criminal Procedure Code, 1973—Section 320—Dishonour of cheque—Conviction—Settlement and compounding—Held: Respondent initially convicted by Trial Court for dishonour of cheque and sentenced to imprisonment with compensation—Appellate Court set aside conviction noting discrepancies in evidence including variance in signature—During pendency of further proceedings, parties entered into amicable settlement and agreed amount paid through demand drafts—In view of compromise, continuation of proceedings held unnecessary—Statutory presumptions under Ss. 118 and 139 stood eclipsed by settlement—Offence treated as compounded and respondent acquitted—Appeals dismissed accordingly. (Paras 1 to 5) ...

Negotiable Instruments Act, 1881—Sections 138 and 147—Dishonour of cheque—Conviction—Compounding of offence—Litigation cost and compounding fee—Held: Accused convicted under S. 138 NI Act for dishonour of cheque—During pendency of proceedings, entire compensation paid and complainant expressed no objection—Offence permitted to be compounded under S. 147 even after conviction in view of principles laid down in Damodar S. Prabhu v. Sayed Babalal H.—Impugned judgments of conviction and sentence set aside and accused acquitted—Accused directed to pay Rs 5,000 as litigation cost to complainant and Rs 5,000 as compounding fee to Himachal Pradesh State Legal Services Authority within stipulated time. (Paras 7 and 8) ...

A. Negotiable Instruments Act, 1881—Sections 138, 118 and 139—Dishonour of cheque (“payment stopped by drawer”)—Presumption—Rebuttal—Held: Once issuance of cheque is admitted, statutory presumption arises that it was issued in discharge of legally enforceable debt or liability—Accused must rebut presumption by leading cogent evidence—Mere denial in statement under Section 313 CrPC insufficient—Where accused admitted issuance, dishonour and receipt of notice, and failed to rebut presumption, offence under S. 138 made out and conviction justified. (Paras 19, 20, 23, 26, 27, 33 to 35) B. Negotiable Instruments Act, 1881—Section 138—Compensation—Criminal Procedure Code, 1973—Section 313—Quantum and principles—Held: Admission in statement under S...

Penal Code, 1860—Section 498-A, 323, 504, 506—Dowry Prohibition Act, 1961—Section 3 and 4—Criminal Procedure Code, 1973—Section 482—Matrimonial cruelty—Complaint case—Summoning order—Quashing for—It is clear that the divorce suit filed by husband has been decreed as cruelty is not proved against him, rather it is proved against the wife. The other important fact to be noted here that the complaint has filed after one year and nine months after alleged incident that too without any medical report. Further, the complaint does not indicate that at any point of time, the wife made any attempt to lodge the case before the police. The cross-examination of the sister of the wife in proceedings u/s 125 Cr.P.C. further indicates that she had no knowledge about the factum of the present ca...

Negotiable Instruments Act, 1881—Sections 138 and 147—Dishonour of cheque—Conviction—Compromise during revision—Compounding of offence—Held: Petitioner convicted by Trial Court and conviction affirmed in appeal for offence under S. 138 NI Act—During pendency of criminal revision, parties entered into compromise and complainant agreed to accept deposited amount and raised no objection—In exercise of power under S. 147, offence can be compounded even after conviction in view of law laid down in Damodar S. Prabhu v. Sayed Babalal H.—Accordingly, conviction and sentence set aside and petitioner acquitted—Accused directed to deposit Rs 5,000 as compounding fee with H.P. State Legal Services Authority, failing which liable for penal consequences including contempt. (Paras 5 to 9) ...