Cheque bounce

HSJAIN (Querist) 12 September 2015 This query is : Resolved
I had availed loan from a finance company for which ECS was the mode of payment.Due to default of loan payment, Company filed claim suit with the Sole Arbitrator as per terms and condition of the loan agreement.Arbitration proceedings are going on and I have also made payment of Rs. 5000/- as per the direction of the Arbitrator. Award of the Arbritration is binding on both sides but no award is announced so far.
Now I have received another notice from the company for ECS bounce on the ground of insuffucient funds for action under section 138 of N.I. ACT.
Whether the company is right in their action.Please advice.

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