Shagun Srivastava | Legistify

Shagun Srivastava
Answered on 02 Dec 2019

The Negotiable Instruments Act, 1881 is applicable for the cases of dishonor of cheque. This Act has been amended many times since 1881. According to Section 138 of the Act, the dishonor of cheque is a criminal offense and is punishable by imprisonment for up to two years or with a monetary penalty or with both.If the payee decides to proceed legally, then the drawer should be given a chance of repaying the cheque amount immediately. Such a change has to be given only in the form of notice in writing. The payee has to send the notice to the drawer with 30 days from the date of receiving “Cheque Return Memo” from the bank. The notice should mention that the cheque amount has to be paid to the payee within 15 days from the date of receipt of the notice by the drawer. If the cheque issuer fails to make a fresh payment within 30 days of receiving the notice, the payee has the right to file a criminal complaint under Section 138 of the Negotiable Instruments Act. However, the complaint should be registered in a magistrate’s court within a month of the expiry of the notice period. It is essential in this case to consult an advocate who is well versed and experienced in this area of practice to proceed further in the matter.Read More

Posted on 20 Nov 2019 | 1 Answer

Can we contest a Lok Adalat order which has already been passed against the victim for a cheque bounce case?Read More

Posted on 20 Nov 2019 | No Answers Yet

We did not receive a tax invoice from the seller and the cheque bounced back. Due to non-receipt of the tax invoice, we have submitted the full tax for our sale invoice and if we receive the invoice then we can get a tax credit. Now we are facing 138 charges. What to do?Read More

Posted on 17 Nov 2019 | No Answers Yet

A cheque bounce case is coming up for judgement in a sessions court after I lost and got convicted in the trial court. My lawyer is saying that if I lose here too, I must stay in remand in jail for at least 2 days before I get bail in the high court. Can I escape that remand in jail?Read More

Posted on 07 Nov 2019 | No Answers Yet

Aayushi Sang | Legistify

Aayushi Sang
Answered on 15 Oct 2019

Cheque bounce comes within the criminal liability and deliberate abstaining from the court may lead you to the disastrous consequences. Since the trail cannot start in the absence of the accused.  the Court may issue initially the available warrant them it may follow NBW and then maybe declared a proclaimed offender. And as far as a settlement is concerned you can approach the court on any date of hearing and may plead for the settlement. In a complaint filed under section 138 of the Negotiable Instruments Act, 1881, once the summons is issued and served upon the accused and the accused fails to appear on the date of hearing mentioned in the summons, Bailable warrants may be issued against the accused by the Ld. Magistrate. It is advisable that even if an advocate has not been engaged, the accused should appear in person to avoid such warrants.Read More

Posted on 11 Oct 2019 | 1 Answer

Mohim Roy | Legistify

Mohim Roy
Answered on 05 Oct 2019

Yes, it is allowed for a person to travel to India in case he/she has been issued a non-bailable warrant for a cheque bounce case. However, this is only possible if the court has not passed an order passed, directing you to not leave the country. You will continue to remain amenable to the courts of that country, so can only take short trips and not relocate till the case is settled.Read More

Posted on 04 Oct 2019 | 1 Answer

Karishma Pandit | Legistify

Karishma Pandit
Answered on 26 Sep 2019

According to the NI Act, the validity of any cheque is only 3 months from the date of issue. However, if the cheque is bounced. One needs to file the case within the stipulated time with is approximately 75 days from the date of dishonour of cheque. Beyond the limitation, the cheque instrument becomes invalid Section 138 of the Act states that any bounced cheque is punishable under the Act and can lead to up to two years of imprisonment, a monetary refund or both. Moreover, according to RBI guidelines, banks can stop issuing cheque book facilities to any customer booked for a bounced cheque After the dishonour of the cheque if any material alterations are made on the cheque, then the drawee cannot file a cheque bounce case. If the drawer pays within 15 days, then it is well and good. Otherwise, the payee can file a complaint in court within one month from the date of expiry of 15 days, given the notice.Read More

Posted on 25 Sep 2019 | 1 Answer

Team Legistify | Legistify

Team Legistify
Answered on 01 Oct 2019

In this case, you can file an FIR before the police and it will be their duty to trace the accused. In second, you can try to get the information from the bank of the drawer.Read More

Posted on 22 Sep 2019 | 1 Answer

One partnership firm wherein there are total 6 partners, out of which 4 are working partners as per partnership deed. But in fact, 2 partners out of 4 working partners are not looking after the business of firm and not working full time they were just shown as working partners on the deed for distribution of remuneration as income tax. Out of 4 working partners, only 2 partners who are actual looking after the business of firm on full time basis and the2 partners who are looking after day to day business of the firm on full time basis have given a cheque signed by them to one party for their personal transactions and later on the said cheque bounce and party has initiate case again all 6 partners. Let me know in this case 2 partners who are not working partner and 2 other working partners out of 4 working partners as per partnership deed but who was not looking after the business affair of the firm are liable?Read More

Posted on 17 Sep 2019 | No Answers Yet

Dhriti Dewan | Legistify

Dhriti Dewan
Answered on 20 Sep 2019

In this case, when the car has been given as security for the case then you cannot sell the car or free it unless this cheque bounce case is disposed of.Read More

Posted on 12 Sep 2019 | 1 Answer