M/S MOSER BAER PHOTO VOLTAIC LTD. vs M/S PHOTON ENERGY SYSTEMS LTD..

The Supreme Court addressed the issue of whether a complainant can issue a demand for a lesser amount after the issuance of a cheque, which was originally for a higher amount, under Sections 138, 141, and 142 of the Negotiable Instruments Act, 1881. The Court held that the criminal prosecution for dishonour of a cheque is not sustainable if the demand is for an amount different from the cheque amount, as established by the notice sent by the complainant. The appeal was allowed, and the parties reached an amicable settlement, with the respondents agreeing to pay a total outstanding amount of Rs.1,80,00,000 in instalments.