Acquittal Based on Denial Alone Was Set Aside as Admission of Signature Triggers Presumption u/s 139 of NI Act
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- Last Updated on 17 January, 2025
Case Details: Amit Jain v. Sanjeev Kumar Singh - [2025] 170 taxmann.com 326 (HC-Delhi)
Judiciary and Counsel Details
- Anish Dayal, J.
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Nitin Kumar Jain, Adv. for the Appellant.
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Kunwar Arish Ali, Yamin, Yasser Wali, Zubair Ali, Abrar Ali, Tayyab Ali & S.M. Prasad, Advs. for the Respondent.
Facts of the Case
In the instant case, the appellant-complainant had given a friendly loan to the respondent-accused. To discharge the loan, the accused issued a cheque. However, the bank returned the cheque with the remark ‘fund insufficient’.
The appellant had served a legal demand notice for recovery of the cheque amount through speed post; the same had been duly served on the respondents; however, no reply was received.
Aggrieved, the appellant filed a complaint case under section 138 of the Negotiable Instruments Act, 1881, before the Trial Court. The Trial Court acquitted the accused.
It was noted that the accused, in his statement under section 313 of the Code of Criminal Procedure, 1973, made various denials but admitted that the signatures on the cheques were his own.
High Court Held
The High Court observed that when the signature on the cheque in question was admitted, the presumption under section 139 of the Act would arise. Further, the statement of the accused under section 313 of the CrPC could not be read as evidence for the purpose of rebutting the presumption raised under section 139 of the Act.
The High Court held that merely pleading not guilty would not suffice to rebut the presumption under section 139 of the Act. Thus, the impugned order passed by the Trial Court was to be set aside.
List of Cases Reviewed
- Amit Jain v. Sanjeev Kumar Singh & Ors. in Complaint Case 4851/2018, dated 1-8-2019 (para 20) reversed.
- Kumar Exports v. Sharma Carpets, (2009) 2 SCC 513 (para 15.4) followed.
List of Cases Referred to
- Bir Singh v. Mukesh Kumar, (2019) 4 SCC 197 (para 8)
- Basalingappa v. Mudibasappa (2019) 5 SCC 418 (para 12)
- Rajesh Jain v. Ajay Singh (2023) 10 SCC 148 (para 15.1)
- Triyambak S. Hegde v. Sripad (2022) 1 SCC 742 (para 15.2)
- Sumeti Vij v. Paramount Tech Fab Industries (2022) 15 SCC 689 (para 15.3)
- Kumar Exports v. Sharma Carpets (2009) 2 SCC 513 (para 15.4)
- K. Bhaskaran v. Sankaran Vaidhyan Balan (1999) 7 SCC 510 (para 15.5)
- V.S. Yadav v. Reena 2010 SCC OnLine Del 3294 (para 15.6).
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