Case Law Analysis
|Himachal Pradesh High Court
Section 138 NI Act | Security Cheques Attract Criminal Liability Upon Dishonour : Himachal HC Upholds Conviction
Himachal Pradesh High Court rules that cheques issued as security for a debt fall within the ambit of Section 138 NI Act if dishonoured due to insufficient funds. The court affirmed conviction, emphasizing that the accused failed to rebut the statutory presumption of liability, setting a precedent for similar cases involving security cheques.