NATIONAL TEXTILE CORPORATION(SM)LIMITED vs KAMALA SINGH .

The Supreme Court ruled that under Section 138 of the Negotiable Instruments Act, the drawer of a cheque is liable for criminal prosecution if the cheque is returned due to insufficient funds and the drawer fails to make payment within 15 days of receiving a notice. The Court emphasized that the notice must be sent to the correct address of the drawer, and failure to do so can invalidate the proceedings. The conviction of the accused was upheld, reinforcing the strict liability principle in cheque dishonor cases.