Cheque presented but drawer died after presentment
Nakibur Rahman
(Querist) 06 September 2016
This query is : Resolved
Sir, My father issued three cheques one cheque to my wife one to my brother and one to transfer a sum of money to his own account of another bank on 08/05/15. my wife deposited the cheque in bank on 13/05/15 my father died on 16/05/15, but the Bank did transfer the sum of amount to my wife's account after 28 days gape i.e after expiry of my father but the cheque was deposited during my father life time,(my wife & father a/c are in the same bank) Now the nominee (my younger brother) has field a Consumer case on bank and making us also a party for not informing about the transfer of money with a prayer to refund the cheque amount with interest. Now would you please inform about the maintainable of the case (2) What is legal position of a cheque deposited during lifetime of the drawer but for some reason the bank failed to credit the amount during lifetime of the drawer (3) what if one issued cheque against legal liabilities and he die and bank refuse to pay the cheque amount, what relief is available to holder of the cheque.
Raj Kumar Makkad
(Expert) 06 September 2016
The consumer complaint is not maintainable as your father had left his liability during his life-time and banker was not obliged to informed about the deposit of cheque for the purpose of clearing to your brother/complainant.
binay
(Expert) 07 September 2016
Ur answer is within Ur question.
Don't worry, if the cheque is processed within his life time, then there is no question of dispute.
Consult a Lawyer
Kumar Doab
(Expert) 07 September 2016
The bank .if a party, shall reply to DCDRF.
Apparently there is n o reason to be perturbed.
Rajendra K Goyal
(Expert) 07 September 2016
When the Bank was informed regarding death of your father?
If the amount was debited by the bank before the receipt of information regarding death, cheque in order otherwise, Bank is not liable.
Even after the information, Bank can debit certain payments.
Lodge complaint with the Bank, why they credited the amount after 28 days after the cheque was deposited with them, in view of the fact that Branches are CBS enabled.
Rajendra K Goyal
(Expert) 07 September 2016
Even after nomination, your brother is only trustee of legal heirs of the deceased for amount with the Bank. He is not absolute owner.
Kumar Doab
(Expert) 07 September 2016
Succession opens on date of death.
If deceased father has not left any valid WILL then his estate shall be equally divided between his legal heirs.
Banks accept one nominee/account.
Nominee is mere trustee and has to divide the proceeds equally amongst all legal heirs.
Bank can discharge its responsibility by making the payment of death claim to nominee, until or unless there is a stay by court.
Your wife can claim compensation from bank for late credit.
It is another perspective that a legal heir may ask in lieu of what liability the cheque was issued to your wife!
Rajendra K Goyal
(Expert) 07 September 2016
The Bank can not be held liable if it paid in good faith the cheques issued by the deceased before it official received the information of death.
venkatesh Rao
(Expert) 07 September 2016
On receipt of the information of the death, if the banker still proposes to debit his account, he is doing so at his risk. Though issuance of cheque presupposes the intention of the drawer, the banker shall not honour the cheque since the intention technically becomes his will and thus he is debarred.
Learned experts, am I correct?
Raj Kumar Makkad
(Expert) 08 September 2016
Venktesh Sir! One should not forgot that the cheque had been presented before the death hence it cannot be concluded that the payment has been made at the risk of banker.
Raj Kumar Makkad
(Expert) 08 September 2016
Though there is an inordinate delay in releasing the payment on the part of the banker but the intention of the account-holder (now deceased) is clear that he wanted to make the payment against which he had issued the said cheque hence no third party is authorized to raised objection.
Kumar Doab
(Expert) 08 September 2016
It is a mystery that how come the cheque was not sent by bank for 28 days.
In any case if the cheque was presented before death/intimation of death, the lady is not be faulted.
She can claim applicable interest/compensation from bank.
