2009 (10) TMI 990 - HC - Indian Laws

Summary

Issues Involved:
1. Dishonour of Cheques
2. Legally Enforceable Liability
3. Rebuttal of Presumptions
4. Evidence and Burden of Proof
5. Appeal Against Acquittal

Summary:

1. Dishonour of Cheques:
The complainant's appeal is against the judgment dated 27.8.08 of the Learned J.M.F.C., Margao, acquitting the accused u/s 138 of the Negotiable Instruments Act, 1881. The complaint was filed for dishonour of two cheques (Cheque No. 162965 for Rs. 6,97,200/- and Cheque No. 0188869 for Rs. 4,98,000/-) due to insufficient funds.

2. Legally Enforceable Liability:
The accused contended that the complainant was engaged in money lending and had taken blank cheques as security, which were later misused. The accused denied any liability and claimed that the cheques were not issued for any legally enforceable debt.

3. Rebuttal of Presumptions:
The Learned Magistrate concluded that the accused successfully rebutted the presumptions in favor of the complainant u/s 138 and 139 of the Negotiable Instruments Act. The complainant failed to establish the accused's liability beyond reasonable doubt, as key witnesses were not examined.

4. Evidence and Burden of Proof:
The complainant did not comply with the accused's requests for details of the alleged payments. The accused did not lead any evidence but filed an additional written statement. The court noted the inconsistencies in the complainant's case and the lack of supporting evidence for the alleged payments.

5. Appeal Against Acquittal:
The appellate court emphasized that the accused need only rebut the presumption by preponderance of probability, not beyond reasonable doubt. The complainant's inconsistent testimony and failure to prove the consideration led to the conclusion that the acquittal could not be faulted. The appeal was dismissed with costs of Rs. 5,000/-.

Conclusion:
The court upheld the acquittal, finding that the accused had successfully rebutted the presumptions and the complainant failed to prove the existence of a legally enforceable debt. The appeal was dismissed with costs.