UNDER SEC 138 OF THE NI ACT, THE BURDEN OF PROOF IS ON THE ACCUSED: SC

10th march

The Apex Court held that Under sec 138 of the NI Act, the burden of proof is on the accused. The Apex court was hearing an appeal against a judgment passed by the Himachal Pradesh HC. The Appellant brought a non-woven fabric from the complainant. After delivery of the goods, the appellant issued two cheques which were dishonoured. The Complainant sent two legal notices, but no response was received.

During the trial in the Lower Court, the complainant placed reliance on documentary evidence and witnesses. At the same time, the Appellant-accused did not lead any defence. The Trial Judge held that the complainant failed to establish that goods were delivered in lieu of which the cheques were issued and therefore acquitted the accused. The HC overturned the judgment passed by the lower court.

The Appellant/accused approached the SC against the order passed by the HC. The SC held that the burden of proof is in the accused as per section 139 of the NI act. Here, the complainant established that goods were delivered in lieu of which the cheques were issued. Therefore, the court upheld the conviction and dismissed the appeal.

Author: Papiha Ghoshal

PC: Hindustan Times