Sec 138 o ni act


A sued B for failure to repay amount of cheque that was dishonored. B said that he had repaid the debt to A by borrowing funds from C. B placed on court record his balance sheet wherein he had shown liability from C. 

Is plea of B sustainable in court?


Not sustainable in eyes of law. Even if for a sake we consider that B take loan from C, but it doesnot proof that B discharge his liability. B has to proof by the way of documentary proof that A already received the debt amount, which is not possible by his own balance sheet. Regards. Arpit Saxena(Adv.)

Corporate & Tax Lawyer

Yes. I appreciate  Arpit reply................


No,B has to prove by cogent evidence [either receipt or through cheque] that he had repaid the loan amount to A.balance sheet prepared by B does not carry weight and is bogus document.




Your are not logged in . Please login to post replies

Click here to Login / Register  


  Search Forum



Post a Suggestion for LCI Team
Post a Legal Query
CrPC Course!     |    x