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Wednesday, February 11, 2026

Home Banking

NIA S. 138 – If the cheque was issued in terms of the compromise, it did not create a new liability

by Punjab Law Reporter

April 3, 2022

in Banking, Negotiable Instruments Act

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Lalit Kumar Sharma v. State of U. P., 2008 PLRonline 0102

Criminal

NIA S. 138 – A notice under Section 138 of the Negotiable Instruments Act must specifically demand the cheque amount; a vague or omnibus demand invalidates the complaint. The provision being penal requires strict compliance, including service of a valid notice. While Section 138 does not mandate giving 15 days’ notice, the drawer must pay within 15 days of receiving it. The High Court rightly quashed proceedings under Section 482 CrPC due to failure to meet statutory notice requirements, making the complaint legally unsustainable. 2007 PLRonline 0106 (SC)

April 22, 2025

Negotiable Instruments Act

NIA S. 138 – Compounding – Though the complainant has been duly compensated by the accused yet the complainant does not agree for the compounding of the offence, the courts cannot compel the complainant to give ‘consent’ for compounding of the matter – On facts – Quashed.

May 4, 2024

Negotiable Instruments Act

[SC] NIA S. 138 – Loan availed at P – In order to harass the petitioner, the cheque was presented in the banks Branch at C – Proceedings can not continue at C. [213 PLR 612]

April 26, 2024

Negotiable Instruments Act

Negotiable Instruments Act, 1881 – S. 138 – Loan agreement executed at Hyderabad – Cheque was issued at Hyderabad – Respondent/Complainant Financial institutions have their offices at Hyderabad – Entire cause of action for filing the present complaints under S. 138 has accrued at Hyderabad – Yet the complaint has been submitted before the Court at Calcutta, Jaipur and Gurugram only to harass the petitioners – Stay of further proceedings. [#PLRonline]

February 18, 2024

NIA S. 138 – If the cheque was issued in terms of the compromise, it did not create a new liability

Lalit Kumar Sharma v. State of U. P., 2008 PLRonline 0102

2022 PLRonline 3155 , (2022-1)205 PLR 520

Related Posts

NIA S. 138 – Compounding – Though the complainant has been duly compensated by the accused yet the complainant does not agree for the compounding of the offence, the courts cannot compel the complainant to give ‘consent’ for compounding of the matter – On facts – Quashed.

[SC] NIA S. 138 – Loan availed at P – In order to harass the petitioner, the cheque was presented in the banks Branch at C – Proceedings can not continue at C. [213 PLR 612]

2022 PLRonline 3155 , (2022-1)205 PLR 520

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