Arun Agrawal (Prop.) 12 March 2013

Notice u/s 138 of ni act

Dear Members, I received a cheque against supply of good to a Public Limited Company (Unlisted). The cheque was dishonoured with objection 'Payment Stopped"

I understand that I can file a case u/s 138 of NI Act since it is a legally enforceable debt. However, I do not know the names of persons signing the cheques.

Neither the company, nor the bank is cooperating to give information about the details (name and designation) of the persons signing the cheque. plz guide about whom to serve the notice and file case against them.

Can I serve the notice to the managing director (even if he has not signed the cheque) ?

Who will be liable to make payment?

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Sushil Wattal (advocate) 13 March 2013

Dear Arun,

on receving information about the dishonour of the cheque you should immediately issue notice within 30 days from the receipt of the information of dishonour of cheque to the company. If the company does not pay the amount within 15 days from the receipt of the notice, you can file complaint after the expiry of the 15 days from the receipt of noice under Section 138 of the Negotiable Instrument Act

you can send your legal Notice at office address referring thereby Company name, through its Managing Director

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