Consideration – Presumption of – As per plaintiff’s income tax return he himself is a debtor to the tune of Rs. 3 lacs -- This circumstance makes a dent upon the capacity of plaintiff to lend huge amount -- Non-production of record sought by the defendants has strengthened their defence in dislodging the presumption under Section 118 of the Act -- Plea was further shattered by the fact that the loan amount was never reflected in the income tax returns of plaintiff – In the absence of proof of money being available with the plaintiff, defendant(s) had succeeded in proving that the pronotes and receipts were without consideration.

(P&H HC) Decided on: 06.11.2015

Income tax returns – Relevancy of -- Contention that the plaintiff was not required to mention the loan advanced to defendants in his income tax returns, is not only erroneous but also not accepted from a person who himself is an income tax practitioner for the last three decades.

(P&H HC) Decided on: 06.11.2015