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Dishonoured Loan Cheque Attracts Section 138 Liability When Borrower Fails to Rebut Statutory Presumption Under Negotiable Instruments Act: Himachal Pradesh High Court

18 Aug 2026 9 min read
Dishonoured Loan Cheque Attracts Section 138 Liability When Borrower Fails to Rebut Statutory Presumption Under Negotiable Instruments Act: Himachal Pradesh High Court

The Himachal Pradesh High Court has dismissed a criminal revision petition filed by Deepna, holding that the conviction for dishonour of a cheque under Section 138 of the Negotiable Instruments Act, 1881 was fully supported by the evidence on record. Justice Sandeep Sharma delivered the judgment on 10 August 2026. The Court held that once the accused admitted taking the loan and issuing the cheque with her signatures, the statutory…

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