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Indian Laws - Highlights / Catch Notes

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Dishonor of cheque case - Issuance of summons - Cheque furnished ...


Cheque dishonor case: Summons issued. Scope of Sec 138 & 482 CrPC examined. Disputed facts, outstanding dues, security cheques.

Case Laws     Indian Laws

July 26, 2024

Dishonor of cheque case - Issuance of summons - Cheque furnished as security covered u/s 138 of NI Act or not? - Scope and limited jurisdiction of High Court u/s 482 CrPC. Dispute based on books of accounts, complainant submitted invoices, ledger accounts, agreement. Accused contended cheques retained to recover outstanding dues. Complainant produced blank cheques given by accused as security. High Court prima facie opined difficulty in examining disputed facts at this stage. Issue whether cheques sent with purchase order discharged outstanding liability subject to trial. Outstanding dues existed on cheque issuance date. Entertaining quashing petition would result in finality without adducing evidence. Ingredients of Section 138 made out, complaint maintainable. No case for exercising extraordinary jurisdiction to quash criminal case. Petition dismissed.

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