27 Mar 2026 13:19 PM

Dishonour of Cheque--Prior Part-Payment --Accused Must Prove Part-Payment Was Against Specific Dishonoured Cheque to Escape Section 138 Liability-

Part-payments made prior to issuance of cheques do not invalidate the legally enforceable debt represented by those cheques under Section 138 of the Negotiable Instruments Act. Once the signature on a cheque is admitted, the presumption under Sections 118 and 139 NI Act operates in favour of the complainant. The accused must affirmatively prove that prior payments were directed toward those specific instruments. Mere denial of notice service is insufficient to rebut presumption of service under Section 27 of the General Clauses Act.

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