Dishonour of Cheque

in my opinion in a case u/s 138 NI Act,  the notice allowing 15 days 4 repayment, sent within 30 days from the date of dishonour of the cheque. and after the laps of  15 days from the date of receipt of the notice if not paid, a case u/s 138 NI Act can be filed. i disagree with the limitation period as stated by ld. friend Ruches Singha.

Section 143 of N.I.Act is clearly states that the power to the court  try cases summerly.

The Magistrate of I class to pass a sentence of imprisonment for a term not exceeding one year and an amount of fine exceeding Rs. 5000/-.

It cannot be maintanable under O.37 of C.P.C,1908.

Demand Notice should be issued within 30 days from the date of Dishonour giving 15 days time. The Limitation is calculated as follows.

1) Notice should be issued within 30 days of the dishonour of cheque giving 15 days time to pay the dishonoured amount.

2) After the lapse of 15 days of the receipt of the notice, within 30 days complaint has to be filed before the Jurisdictional Court

Dear All,

Waht will be the case when the demand notice was returned due to reason "unclaimed" , in this case when did the period of limitation start for filing the case?

Dear Shonith

The service of notice will be treated as proper.

Mr sinha

There is no bar to file a suit for recovery of the amount due under the cheque. NI Act deals only the penal consequences, for issuing a cheque which is dishonoured. Recovery is another aspect. If the demand is not complied with within the 15 days of the receipt of the demand notice then the limitation is  30 days from the date of  conclusion of 15 days.

"Unclaimed" is as good as "refused". There are catena of decisons on this aspect. It is a deemed service as per the apex court also.

I hope your querry is met

are you not from salem