Topic

NI Act legal principles

1 articleLatest March 2026
Section 138 NI Act | Admission of Cheque Issuance Triggers Presumption of Debt; Accused Must Prove Absence of Liability : Himachal Pradesh HC
Case Law Analysis
|Himachal Pradesh High Court

Section 138 NI Act | Admission of Cheque Issuance Triggers Presumption of Debt; Accused Must Prove Absence of Liability : Himachal Pradesh HC

Himachal Pradesh HC rules that once an accused admits issuing a cheque, Section 139 NI Act presumption of debt arises automatically, shifting the burden to the accused to disprove liability. Mere denial in Section 313 CrPC statement is insufficient to rebut the presumption, reinforcing complainant's evidentiary advantage in cheque dishonour cases.