The Supreme Court recently reiterated that in proceedings under Section 138 of the Negotiable Instruments Act, 1881 (NI Act), the question of whether the underlying debt is time-barred is based on the evidence. Thus, the High Court should not decide the same in a petition under Section 482 (quashing of FIR) of the CrPC.
“Undoubtedly, the question regarding the time-barred nature of an underlying debt or liability in proceedings under Section 138 of the NI Act is a mixed question of law and fact which ought not to be decided by the High Court exercising jurisdiction under Section 482 of the CrPC.,” ordered Justices Vikram Nath and Satish Chandra Sharma.