The Himachal Pradesh High Court held that admission of a signature on a blank cheque raises a statutory presumption under Section 139 of the Negotiable Instruments Act, placing the burden on the accused to rebut it.
HP HC: Admission of Signature on Blank Cheque Raises Statutory Presumption
The Himachal Pradesh High Court has ruled that when an accused admits signing a blank cheque, a statutory presumption under Section 139 of the Negotiable Instruments Act, 1881, is activated, shifting the burden to the accused to rebut the presumption that the cheque was issued for discharge of a legally enforceable debt or liability.
The court emphasized that Section 139 creates a rebuttable presumption of legality and due consideration upon proof of issuance of the cheque. The mere fact that the cheque was blank at the time of signing does not negate the presumption, as the signatory authorizes the payee to fill in the amount and particulars within agreed limits.
"The admission of the signature by the accused is sufficient to attract the applicability of Section 139,"
The court observed that once the statutory presumption applies, the accused must provide credible evidence to demonstrate that the cheque was not issued in discharge of a debt. Failure to do so results in conviction under Section 138. The ruling reinforces the efficacy of legal remedies for cheque dishonour by streamlining evidentiary burdens.
Citations
- Negotiable Instruments Act, 1881, Section 139
