Sec. 138 NI Act & Sec. 22 Banking Regulation Act
Chetan
(Querist) 18 February 2009
This query is : Resolved
I case is transferred before me by an Advocate.
Facts :- the Complainant sold his 3 Bonds Certificate to the Accused and the accused haded him 3 cheques of "Nagari Sahakari Pat Sanstha".
Subsequently those cheques were bounce and the complainant filed complaint u/s 138 against the accused. The first Advocate of the accused send reply to the notice of complainant that the "The said pat santstha falls u/s 22 of the Banking Regulation Act and therefore that pat santshta is not the bank and therefore does not issue the cheque they issue only the voucher and thus the voucher is not the Negotiable Instrument"
My query is that how to take discharge my client i.e. accused under above circumstance (if any pls. provide citation)
PALNITKAR V.V.
(Expert) 18 February 2009
Sec. 22 in fact lays down that the Reserve bank may issue licence for banking business and it prohibits business of banking without licence. it does not mean that no pat sanstha is entitled to deal in banking business. There are pat sansthas who have obtained licences for banking business. Please verify it.
A. A. JOSE
(Expert) 18 February 2009
Actions as advised by Palnitkar sir is right.
