Srinagar, Aug. 5 -- The High Court of J&K and Ladakh has ruled that criminal proceedings under Section 138 of the Negotiable Instruments Act cannot be quashed merely because the accused claims that the cheque was lost, payment had been stopped or the cheque was misused.

The court held that once execution of the cheque is not disputed, the statutory presumption under Section 139 of the Act operates in favour of the holder and such defences raise disputed questions of fact that can only be examined during trial after evidence is led.

Dismissing a petition under Section 528 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), Justice Wasim Sadiq Nargal upheld the order of the Special Mobile Magistrate, Rajouri, taking cognizance of a complain...