[Section 138 NI Act] Complainant Need Not Prove Financial Capacity at Threshold; Onus Shifts Only If Accused Raises Specific Objection: Supreme Court

The Supreme Court has reiterated that in proceedings under Section 138 of the Negotiable Instruments Act, 1881, a complainant is not required to prove financial capacity to lend money at the threshold. The burden of rebuttal lies on the accused—and only if a specific objection is raised regarding the complainant’s capacity does the onus shift.

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