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Negotiable Instruments Act: Heavy Burden Cannot Be Placed On The Complainant To Prove The Debt

In PAVAN DILIPRAO DIKE vs VISHAL NARENDRABHAI PARMAR, appeal was filed against the High Court order reversing the order of acquittal by the trial court wherein the trial court had dismissed the complaint on the ground that the complainant has failed to prove that the cheque which was dishonored was given by the accused to the complainant to discharge the legal debt/liability. The High Court had observed that as per Section 139 of the Act of 1881, the burden to prove that the cheque in question was issued for some purpose other than discharging legal debt/liability is on the accused and that the cheque was of the account of the accused and the accused has not been able to show that the signature on the cheque is not of the accused.

On appeal the Supreme Court agreeing with the High Court held that the High Court has rightly reversed the order of acquittal passed by the trial court wherein the presumption under Section 138 has not been taken into account. The trial court committed an error in placing heavy burden on the complainant to prove the debt.

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