In Brief
The appellant lent Rs. 64,000 to the first respondent, who issued two cheques that were dishonoured for insufficiency of funds. The appellant sent a legal notice within 15 days of dishonour intimation, though it was initially returned with 'addressee absent'. A second notice was later sent. The High Court set aside the trial court's conviction under Section 138 of the Negotiable Instruments Act, 1881, holding the notice period was exceeded. The Supreme Court held that when notice is sent by registered post to the correct address, service is deemed effective under the General Clauses Act and Indian Evidence Act, regardless of postal endorsement, and a reminder notice does not negate the first notice's validity. The Court set aside the High Court's judgment, directing the respondent to deposit Rs. 2,00,000 or face restoration of the conviction and three-month sentence.
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