Supreme Court says in cheque bounce cases cognizance of cases be taken only after determining the question of limitation
INTRODUCTION Supreme Court of India has held that a trial court must first condone any delay in filing a complaint under Section 138 of the Negotiable Instruments Act, 1881 (NI Act) before taking cognizance of the offence in cases where the complaint is filed beyond the prescribed limitation period. This ruling was delivered on January 6, 2026. Facts and Background of the Case The respondent, and her husband had lent Rs. 5,40,000/- as financial assistance to the appellant for the purchase of a house. Cheques issued by the appellant in repayment/discharge of this liability were dishonored. A complaint under Section 138 NI Act was filed, but it was belated (delayed by two days in presentation/filing). The Magistrate took cognizance of the offence on the very day the complaint was filed without first addressing/condoning the delay. Proceedings continued, but the appellant challenged this, eventually leading to the Supreme Court. Observations The Supreme Court referred to the p...