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HC dismissed second appeal concerning damages claimed for ...


Acquittal in Section 138 NI Act Case Does Not Automatically Prove Malicious Prosecution or Entitle Damages

February 11, 2025

Case Laws     Indian Laws     HC

HC dismissed second appeal concerning damages claimed for alleged malicious prosecution following dishonored cheque case. Plaintiff failed to establish essential elements of malicious prosecution - damage to reputation, property, or person. Court found no evidence of defamation or mental agony, and determined original Section 138 NI Act proceedings were not maliciously instituted. Mere acquittal in criminal case insufficient to prove malicious prosecution. Lower appellate court correctly noted absence of published negative publicity or demonstrable harm to plaintiff's image. Without proof of actual damages or malicious intent, plaintiff's claim for compensation failed legal threshold for tort of malicious prosecution. Appeal dismissed with no interference in first appellate court's judgment.

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