MSR Leathers v S. Palaniappan
(2013) 1 SCC 17720121 min read
The case in brief30-second read
- Facts
- Cheques were dishonoured and a demand notice was given, but no complaint was filed. The cheques were presented again, dishonoured again, and a fresh notice was given before the complaint.
- Issue
- Whether a prosecution under S.138 can be based on a second or later dishonour of the same cheque.
- Held
- There is no bar to presenting a cheque more than once within its validity. Each dishonour followed by a statutory notice and failure to pay gives a fresh cause of action, so a complaint can rest on a later dishonour. The earlier contrary view in Sadanandan Bhadran was overruled.
- Principle
- A S.138 prosecution may be based on a successive dishonour after a fresh notice.
Facts
- Cheques were dishonoured and a demand notice was given, but no complaint was filed. The cheques were presented again, dishonoured again, and a fresh notice was given before the complaint.
Issue
- Whether a prosecution under S.138 can be based on a second or later dishonour of the same cheque.
Held
- There is no bar to presenting a cheque more than once within its validity. Each dishonour followed by a statutory notice and failure to pay gives a fresh cause of action, so a complaint can rest on a later dishonour. The earlier contrary view in Sadanandan Bhadran was overruled.
Cite this
Citation
MSR Leathers v S. Palaniappan (2013) 1 SCC 177Reported: https://indiankanoon.org/doc/132373854/. This is an educational summary, not the judgment itself. Cite the reported version in professional or academic work.