Supreme Court of India
K.S. Ranganatha v. Vittal Shetty
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What the Court ordered
We are of the opinion that the defence raised by the appellants does not inspire confidence or meet the standard of “preponderance of probability”. In the absence of any other relevant material, it appears to us that the High Court did not err in discarding the appellants’ defence and upholding the onus imposed upon them in terms of Section 118 and Section 139 of NIA.
Judgment, page 9
From the headnote
Negotiable Instruments Act, 1881 – s.138 – Dishonour of cheque – Appellant acquitted by trial court – Acquittal reversed by High Court – On appeal, held: Respondent successfully discharged the initial burden cast on him – He established that the cheque signed by the appellant was issued in his favour towards discharge of a legally recoverable amount – Parties were known to each other – Appellant admitted about an earlier transaction where he had borrowed the amount and repaid – This indicates that the parties had entered into financial transactions earlier as well and another transaction was…
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