The High Court, citing Bir Singh v. Mukesh Kumar, held that a voluntarily signed blank cheque also attracts the presumption under Section 139 of the NI Act unless cogent evidence proves otherwise.
Technical defects should not hinder the provision of substantial justice, observed the Supreme Court recently while restoring a cheque bounce case that had effectively been closed on account of one such technical ground
The Supreme Court held that where a cheque is dishonoured, the interim compensation can be directed to be paid only after the accused has pleaded not guilty as per section 143A(1) of the Negotiable.
The Supreme Court held that its power to transfer criminal cases under Section 406, CrPC remains intact in relation to cheque dishonour cases under Section 138 of the Negotiable Instruments Act.