Summary
- The Bombay High Court upheld the conviction of Manoj Punamchand Oswal under Section 138 of the Negotiable Instruments Act, 1881, for issuing a dishonoured cheque of ₹8,50,000.
- The court dismissed his revision application, affirming an 18-month prison sentence and ₹10 lakh compensation for the complainant, Vijay Omkarmal Gandhi.
- Key findings included that Oswal failed to rebut statutory presumptions regarding the cheque and that alleged violations of Income Tax provisions did not invalidate the debt.
- This ruling reinforces that cash transactions violating tax laws can still be enforceable under Section 138, impacting future cheque bounce cases.
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