Union Of India & Ors vs Sanjay Jethi & Anr

The Supreme Court held that the provisions of Section 138 of the Negotiable Instruments Act, 1881, require the drawer of a cheque to ensure that sufficient funds are available in the account at the time of presentation. The Court established that a mere technical default does not absolve the drawer from liability if the cheque is returned due to insufficient funds. The appeal was dismissed, affirming the conviction of the appellant under Section 138.