Kanoon Ki Dastak
Srinagar, March 25, 2025: A Srinagar court has convicted Umar Salim of H.U. Enterprises in a cheque bounce case under Section 138 of the Negotiable Instruments Act. The conviction comes after Salim failed to honor a Rs. 4 lakh cheque issued to complainant Ajaz Ahmad Rather for a financial loan.
According to the court order by Judge Junaid Imtiaz Mir of the Small Causes Court, Srinagar, the complainant had given a friendly loan of Rs. 4 lakh to Salim, who issued a cheque dated August 25, 2023, drawn on J&K Bank, Panthachowk. However, when presented for encashment on November 1, 2023, the cheque was dishonored due to insufficient funds. Despite repeated reminders and a legal demand notice, Salim failed to make the payment.
During the trial, Salim initially admitted liability and agreed to pay Rs. 4.6 lakh, including a penalty, in installments. He paid Rs. 1.5 lakh but defaulted on two subsequent post-dated cheques. The court issued a non-bailable warrant when he remained absent from hearings. On March 12, 2025, he reappeared but failed to provide an explanation or fulfill the payment terms.
The court, considering his repeated defaults and fraudulent intent, sentenced Salim to one year of imprisonment and imposed a fine twice the cheque amount. Since he was absent on the date of conviction, a non-bailable warrant was issued for his arrest, and the case is scheduled for further proceedings on April 7, 2025.
Advocate Dar Khursheed appeared for the complainant.