amolpatekar 05 March 2015

Section 138

If amount is paid from one person A account and cheque received in name of person B and cheque bounced , can the person B file case under section 138

I received reply from the forum that B can file complaint under 138 but it will not sustain So is there any way I can retrieve my money How to go about it ? Will it take long time ? How many years ? I don't think that the fellow want to pay back my money , what legal option I have. Pls advise. It is very urgent. Considering I am person A and I am also outside india so can peron B act on my behalf ?

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5 Replies

Jai Karan Nagwan (consultant) 05 March 2015

This is discussed in detail in another tag, however First send demand notice/ legal notice, if he wanted to pay back will act on legal notice. Legal notice is not legal requirement, but better to do that. If money does not come back, you have two option 1. File civil suit for recovery or summary suit. B can do that on your behalf. Issue POA in favour of B, duly attested by consullate.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer) 08 March 2015

Sec:138 NI Act required that at first you send notice to the party asking him to pay the amount within 15 days. If he doesn't pay or doesn't answer your notice you go to court. This notice is mandatory under Sec:138. I do not understand what Mr.Nagwan means by legal notice. If he means a notice sent by a lawyer, of course it is not essential. The aggrieved person himself can send. The section also says that the notice should be sent within 15 days of return of the cheque. But I do not know how much importance court gives to this.

Jai Karan Nagwan (consultant) 18 March 2015

Hi Doctor, first you need to understand, if the case falls under the purview or not? For information to make a case u/s 138, cheque must have been issued by the drawer to discharge any debt or liability,