Evidence of debt needed in cheque bouncing cases
In a landmark judgement, the Bombay High Court has ruled that a dishonoured cheque by itself is not enough to prove the guilt of an accused in a cheque bouncing case. The Court said there needs to be proof beyond reasonable doubt of the existence of a legally recoverable debt.
According to Justice VR Kingaonkar of the Aurangabad bench of the High Court,
“Mere admission of the signature on the cheque does not relieve the complainant from requirement to prove the pre-existing debt or legal liability to pay the amount shown in the cheque”
This throws a totally different light on the way such cases are being currently handled, with the cheque issuer liable for punishment with a fine, and even imprisonment.
There are 14.55 lakh cases of bounced cheque cases pending, with 4.36 lakh cases in Maharashtra and at least 3,000 cases are filed every month in Mumbai courts.
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