GOA PLAST(P)LTD. vs CHICO URSULA D'SOUZA

The Supreme Court held that under Section 138 of the Negotiable Instruments Act, the burden of proof lies on the accused to rebut the statutory presumption of liability established by the issuance of a cheque. The Court found that the respondent failed to provide sufficient evidence to rebut this presumption, as merely sending a letter denying liability does not suffice. Consequently, the Court overturned the High Court's order of acquittal and remanded the case for further proceedings, emphasizing the need for the accused to substantiate their defense with evidence.