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Issues:
Allegations of dishonored cheque for land purchase, Time-barred complaint under section 138 of the Negotiable Instruments Act, Interpretation of "debt" in the Act, Burden of proof on accused, Liability of co-accused, Limitation period verification. Analysis: 1. The petitioners were accused of dishonoring a cheque for land purchase. The petitioners argued that the complaint was time-barred as the cheque was not given towards a legally enforceable "debt." They contended that the complaint lacked details connecting all petitioners to the dishonored cheque. However, respondents argued that the cheque was part of the sale consideration, constituting a "debt" under a wider interpretation of the term. The court noted the presumption under section 139 of the Act and upheld that the burden to disprove the debt lay with the petitioners, hence dismissing the quashing plea. 2. The petitioners further argued that co-accused who were not payees or holders in due course should not be liable. However, the court held that the involvement of all parties in the sale transaction justified their inclusion in the complaint. The court also found the sons of the first petitioner, as members of the HUF, liable under section 138 of the Act due to their involvement in the land purchase agreement. 3. The issue of limitation arose concerning the date of receipt of statutory notices. The petitioners claimed the notices were received on May 8, 2003, while respondents alleged May 12, 2003. The court emphasized the need for clarity on the date of receipt and directed the trial court to verify the postal acknowledgments to ensure the complaint was filed within the limitation period. 4. Ultimately, the court rejected the petitioners' plea to quash the complaint, citing the broader interpretation of "debt" under the Act, the burden of proof on the accused, and the liability of all involved parties in the land purchase transaction. The court advised the petitioners to address the limitation issue before the trial court, thereby disposing of the petition accordingly.
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