Oriental Bank of Commerce vs Prabodh Kumar Tewari & Anr., Nov 2019
In November 2019, the Supreme Court addressed an important issue under Section 138 of the Negotiable Instruments Act. The High Court had previously allowed an accused person to examine a handwriting expert, even though the signature on the cheque had been admitted. This decision raised questions on whether such evidence was necessary once a signature was acknowledged.
On 4 November 2019, a bench comprising Justice D.Y. Chandrachud and Justice Hrishikesh Roy stayed the High Court’s order. The Supreme Court’s intervention reinforced the principle that once an accused admits to a signature, certain technical objections lose relevance, preventing the misuse of procedural delays.
Highlights:
Clarified the scope of defences available under Section 138 NI Act.
Prevented prolonged litigation in cheque dishonour cases.
Reaffirmed that admissions carry evidentiary weight.
This ruling underscored the judiciary’s emphasis on efficiency, accountability, and the protection of financial credibility in commercial dealings.