Mumbai Woman Faces Jail and Fine in 28-Year-Old Cheque Bounce Case

The 43rd Court of the Metropolitan Magistrate at Borivali has convicted Treasa Abraham Samuel in a 28-year-old cheque bounce case, holding her guilty under Section 138 of the Negotiable Instruments Act, 1881. The court sentenced her to one year of imprisonment and directed her to pay Rs 8.20 lakh as compensation to the complainant.

The court also stated that the compensation will carry 9 per cent yearly interest until the full amount is paid. If she fails to pay the money within the stipulated time, she will have to serve an additional three months in jail. As Samuel was not present when the judgment was delivered, the court issued a non-bailable warrant against her.

According to the prosecution, the complaint was filed by Abdul Hamid Khan, a Malvani resident originally from Kashmir and proprietor of Azad Security Services. Khan stated that he had been providing security services to the accused since 1990 for her properties in Gorai (Manori) and Orlem.

Speaking to mid-day, Khan said that while security services at the Orlem property were later discontinued, two guards continued to be deployed round-the-clock at the accused's Manori bungalow. Payments, however, were allegedly irregular and made in instalments, leading to outstanding dues of around Rs 4.25 lakh.

After repeated demands, the accused allegedly issued three cheques - one for Rs 4,400, another for Rs 2 lakh, and a third for Rs 2.25 lakh. While the cheque for Rs 4,400 was honoured, the remaining two were returned unpaid due to 'insufficient funds.'

Despite a legal demand notice, the accused failed to clear the dues, prompting Khan to file a cheque bounce complaint in June 1997. During the prolonged trial, the accused allegedly remained absent on several occasions, leading to the issuance of a non-bailable warrant. She was later arrested and released on bail.

Khan further alleged that the accused attempted to mislead the court and managed to get the case transferred to a Mumbai court. After years of litigation, the matter was eventually transferred back to the Borivali court, which delivered its verdict on January 1, 2026.

Welcoming the judgment, Khan said, 'This verdict sends a strong message to those who misuse cheques in commercial transactions. Justice may be delayed, but it is never denied.'