Background of the case The case involved a cheque issued by the accused, Mahdoom Bawa Bahrudeen Noorul, in favour of Kaveri Plastics for ₹1 crore. Upon presentation, the cheque was dishonoured. As required under Section 138 of the Negotiable Instruments Act, 1881 (NI Act), the complainant issued a statutory demand notice. However, the notice mistakenly demanded ₹2 crores instead of the actual cheque amount of ₹1 crore. This discrepancy became the focal point of the dispute. Issue Involved The key issue before the Supreme Court was: - Whether a demand notice under Section 138 NI Act is valid if the Continue Reading