Section 34 of Indian Evidence Act

Entries in Books of Account

Section 34 of Indian Evidence Act (IEA) deals with the admissibility and evidentiary value of entries made in books of account. It stipulates that entries in books of account, including those maintained in electronic form, are relevant whenever they refer to a matter into which the court has to inquire. However, such entries alone are not sufficient evidence to charge any person with liability.

Relevance of Entries in Books of Account – Section 34 of Indian Evidence Act

Entries in books of account are considered relevant evidence under Section 34 of the IEA if they meet the following conditions:

1. Regularly Kept: The entries must have been made regularly in the course of business. This means that the entries should be made at or about the time of the transactions they record.

2. Maintained in Electronic Form: The entries can be in electronic form as well as handwritten or printed form. However, electronic entries must be maintained in a manner that ensures their authenticity and integrity.

3. Refer to a Matter of Inquiry: The entries must be relevant to the matter that the court is investigating or adjudicating. This means that the entries must provide information that is pertinent to the issues at hand.

Evidentiary Value of Entries in Books of Account – Section 34 of Indian Evidence Act

While entries in books of account are relevant evidence, they are not conclusive proof of any fact. This means that the court cannot solely rely on these entries to establish liability. Other corroborating evidence is required to support the entries.

The court will consider the following factors when evaluating the evidentiary value of entries in books of account:

1. Reliability of the Books: The court will assess whether the books of account have been maintained with proper care and accuracy. This includes factors such as the regularity of entries, the use of appropriate accounting standards, and the existence of internal controls.

2. Credibility of the Custodian: The court will consider the credibility of the person who maintains the books of account. This includes factors such as their expertise in accounting, their experience in maintaining the books, and their reputation for honesty and integrity.

3. Consistency with Other Evidence: The court will compare the entries in the books of account with other evidence in the case, such as oral testimony, documentary evidence, and circumstantial evidence.