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2018 (10) TMI 1079 - HC - Indian LawsDishonor of Cheque due to insufficiency of funds - rebuttal of presumption - section 138 of NI Act - Held that:- It is well settled that the statutory presumptions available under Section 118 and 139 of the Negotiable Instruments Act, 1881, can be discharged by the accused. Such presumption cannot be static. It can be discharged by bringing out probabilities - The probabilities always need not be by way of direct evidence - Even circumstantial evidence or even admission on the side of the complainant is sufficient to discharge the legal presumption. Mere denial by the accused of consideration or issuance of the cheque will not discharge the legal presumption. The evidence of P.W.1, when carefully seen, his entire evidence in cross-examination read together, the same indicates that there is no privity of contract between the accused and himself. In fact, he has shown ignorance about the nature of legal notice issued by the accused and himself. He appears to have totally ignorant of the facts. His entire evidence indicates that only his brother had some dealing with the accused - this Court does not find any material to hold that the complainant has proved his case. The complainant has not discharged his burden in establishing the passing of consideration - appeal dismissed.
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