Cheque issued but account closed

Yours is part legal, part astrological question. Mallya ran away, taking 6000 crore n banks could not do anything. If your hand loan is above 1 crore and only if you have capacity to spend a lac rupees on litigation expenses + have enough time to wait in courts for next decade or so, pursue this opportunity to become more kangaal.

Doing some thing is better than doing nothing.

1. whether i can present the cheque for clearance now ?:  If you can trace the address of the borrower, present it as it is a mere waste paper if it is still with you.
2. what will happen to the cheque since the account got closed ?:   Bank rejects the payment on cheque -Account closed.  This is also a reason for bouncing of the cheque and it can be treated that the customer while closing the account, without surrendering the cheque used the same for cheating.
3. will i be able to file the legal case in this case ( cheque issued but the account was closed)?:  Yes.  It is more serious than bouncing on reason insufficient funds, as borrower knowingly issued the cheque after closing the cheque.  But you should argue that you are not aware of the account closure and came to know only after the cheque was presented.  If the account was closed, it is the duty of the drawer to give another cheque in lieu of that cheque if he is sincere in his commitment.
4. Can i file a police FIR thru court since the cheque was issued but without intimation or information to me the cheque issuer has close the account?  Yes.   This is why experts advise members not to post entire facts in open forum.  If there is an arrangement, try to delete the entire post after taking a screen print out with the help of the administrator.
5. do i need to send any legal notice to bank as how come bank close the account without undertakiing the unused cheques ?: Foolish.   The bank is a stranger to the contract.  It is not aware as to whether how many cheques were issued to others etc.,  Bank believes the customer and he might have surrendered one or two cheque leaves, and the presumption is that those cheques were cancelled.
6. what is the probability of winning the case?:  No one can assure any thing in litigation.   It depends on the competency of your counsel and incompetency of the other counsel.  Any able advocate can turn the tables with his arguments.

Now that as it appears there is no scope, but you can give a try through a sincere advocate.

You have been advised in detail.

 

After putting  the date of presentation, you can deposit the cheque.  Once it is bounced, serve legal notice within 30 days giving him time to pay the amount on cheque within 15 days.  Once, he does not pay within 15 days, you have to file a complaint case under S.138 NI Act in MM court within 30 days that starts after expirty of 15 days of issuance of your legal notice.  Time schedule should be meticulously maintained.

Samarpan (free legal advice & aid cell - All India Lawyers Union-Delhi)