Procedure to file a cheque bounce case
Arun
(Querist) 11 August 2014
This query is : Resolved
Can anyone kindly provide the information reqarding :
If i put a cheque to a bank and it get returned because of insufficient funds and in how many days i need to file a suite against the party and if in case if i don't file a suite or send a notice even after cheque gets returned, for more than 3 months what will be the concequences and if there any chance to file the case after.
V R SHROFF
(Expert) 11 August 2014
AFTER REBOUNCED OF CHEQUE, U MUST ISSUE NOTICE DEMANDING THE AMOUNT, WITHIN 30 DAYS OF CHEQUE RETURN MEMO RECD BY YOU.
YOU CAN FILE CIVIL SUIT FOR RECOVERY, IF U FAIL TO TAKE ACTION U/S 138 FOR 3 MONTHS.. You loss chance to file 138 ni case for ever..
ajay sethi
(Expert) 12 August 2014
. issue legal notice on dishonour of cheque . you can file summary suit if you dont take any legal proceedings under section 138 NI
Rajendra K Goyal
(Expert) 12 August 2014
Notice in 30 days on receipt of return memo.
If no suit filed u/s 138 NI Act, file summary suit for recovery.
malipeddi jaggarao
(Expert) 12 August 2014
No remedy under Section 138 of NT Act if notice is not given within 30 days of return of the cheque. It can be presented again and if again returned, notice is to be served within 30 days. If the drawer does not pay within 15 days, criminal action is to be initiated within 30 days. This the limitation as regards cases under Sec.138 of NI Act.
The limitation is clearly emphasized in Supreme Court judgement in CRIMINAL APPEAL NO. 2083/2013 (arising out of SLP(Criminal) No. 10056 of 2012):
"11. It is thus clear that period of limitation is not to be counted from the date when the cheque in question was presented in the
first instance on 25.10.2008 or the legal notice was issued on
27.10.2008, inasmuch as the cheque was presented again on 10.11.2008. For the purposes of limitation, in so far as legal
notice is concerned, it is to be served within 30 days of the receipt of information by the drawyee from the bank regarding the return of the cheque as unpaid. Therefore, after the cheque is
returned unpaid, notice has to be issued within 30 days of the receipt of information in this behalf. That is the period of limitation provided for issuance of legal notice calling upon the drawer of the cheque to make the payment. After the sending of this notice 15 days time is to be given to the noticee, from the date of receipt of the said notice to make the payment, if that is already not done. If noticee fails to make the payment, the
offence can be said to have been committed and in that event cause of action for filing the complaint would accrue to the
complainant and he is given one month time from the date of cause of action to file the complaint".
Arun
(Querist) 12 August 2014
Thank you everyone..
Dr J C Vashista
(Expert) 13 August 2014
Despite the fact that it is pure academic query the experts have very well advised the author and I fully agree with them .
T. Kalaiselvan, Advocate
(Expert) 17 August 2014
