Query in ni act

Querist : Anonymous (Querist) 27 January 2012 This query is : Resolved
a bounced cheque how many times represent for collection? any latest RBI ruling regarding this?

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ajay sethi (Expert) 27 January 2012
3 times it can be presented . however legal notice can be given only once . after issue of legal notice and if no reply is received nor payment made you have to file complaint within stipulated period

Querist : Anonymous (Querist) 27 January 2012
any citation or RBI ruling regarding this matter

ajay sethi (Expert) 27 January 2012
do google search for citations

Shonee Kapoor (Expert) 27 January 2012
3 times.

Regards,

Shnee Kapoor
harassed.by.498a@gmail.com

Raj Kumar Makkad (Expert) 27 January 2012
It is held by the Supreme Court that while the cheque could be presented at any number of times however there shall be only one Notice. The following case may be noted on the subject:
Sadanandan Bhadran v. Madhavan Sunil Kumar (1998 (4) SCALE SC
Complaint U/s. 138- Maintainability - conditions precedent to applicability of sec. 138 - A cheque can be presented any number of times during the period of its validity- Whether dishonour of the cheque on each occasion of its presentation gives rise to a fresh cause of action within the meaning of Sec. 142(b) of the act - Held No. - A competent court can take cognizance of a written complaint of an offence u/s.138 if it is made within one month of the date on which the cause of action arises under clause c of Sec.142 gives it is a restrictive meaning - it is the failure to make payment within 15 days from date of receipt of notice which will give rise to cause of action - Cause of action within meaning of Sec. 142 (c) arises and can arise only once - impediments which negate concept of successive causes of action- Held.:

On each presentation of the cheque and its dishonour a fresh right and not cause of action - accrues in his favour. He may, therefore, without taking pre-emptory action in exercise of his right under clause (b) of Section 138, go on presenting the cheque so as to enable him to exercise such right at any point of time during the validity of the cheque. But, once he gives a notice under clause (b) of Sec. 138 he forfeits such right for in case of failure of the drawer to pay the money within the stipulated time he would be liable for the offence and the cause of action for filing the complaint will arise. Needless to say, the period of one month for filing the complaint will be reckoned from the day immediately following the day on which the period of fifteen days from the date of the receipt of the notice by the drawer expires.

Advocate Bhartesh goyal (Expert) 27 January 2012
During the validity period of cheque,it can be presented number of times each time fresh cause of action arises.there is no bar that it can be presented only three times. but on dishonour of cheque if notice to accsed has been issued and cheque is again presented for encashment,on again dishonour of cheque no complaint can be filed on basis of second notice.

Sailesh Kumar Shah (Expert) 28 January 2012
@Mr.Ajay Sethi/Mr.Shonee Kapoor

any rbi guidelines for 3 times? if you have, please provide.

V R SHROFF (Expert) 28 January 2012
I agree with Adv Goyal's Reply.

Mr. Shah deserve reply for rbi guideline.so request @Mr.Ajay Sethi/Mr.Shonee Kapoor.
It will improve our knowledge too.

prabhakar singh (Expert) 28 January 2012
I ALSO agree with Adv Goyal's Reply.

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