First, a fingerprint must be sent within the allotted time. In your case, there was a delay. The filing of the case, i.e. summary request u/s 138 of the N.I Act, must be made with a request for delay of acquiescence, which includes a genuine excuse for the delay in the legal action. It is very important to write the correct date on the cheque slip. If you write a scribbled number that cannot be read or the wrong date, your cheque will be returned. If the drawer mentions a date earlier than three months, banks can cash the cheque. If the cheque has been backdated, but the beneficiary has already submitted it to receive the money, it will be rejected. Therefore, hiring a lawyer skilled in cheque bounce can ensure that the needs and interests of the accused/complaint (regardless of the client) are protected by law.
A cheque bounce can occur for a variety of reasons, but if a cheque bounces off the subscriber`s account due to insufficient funds, it is a criminal offence under the law. The bank must reject the cheque presented for payment with an acknowledgment of receipt indicating the reason as insufficient funds. In such a case, the beneficiary of the cheque may issue a notice of return cheque to the drawer requesting payment of the amount of the cheque. However, if the aggrieved party does not file the claim within 30 days, the court will not consider the claim unless there is a valid reason for the delay. If the drawer is convicted as an intentional debtor, he or she faces two years` imprisonment or a fine equal to twice the amount of the cheque, or both. The defaulter also has the possibility to appeal to the court of the session within one month from the date of the judgment of the lower court. If the subscriber pays the amount of the cheque within 15 days of the date of receipt of the notice, he does not commit a crime. Otherwise, the beneficiary may file a complaint with the court of the competent judge within one month of the expiry of the 15-day period provided for in the notification. Yes, you can resubmit the cheque to the bank for payment, even if it was not cashed the first time. However, it goes without saying that the cheque can only be presented to the bank again during its validity period. A cheque is a “bill of exchange” payable on demand. The issuer of the cheque is called the “subscriber”, while to whom the cheque is issued is called the “drawer”.
Note: For any problem or concern you have, our experts will assess your situation and advise you on the best course of action. Cheque bounce cases are governed by section 138 of the Negotiable Instruments Act, 1881. A cheque bounces when a bank fails to cash a payment. If a cheque is returned unpaid by the bank, it will be rejected as uncashed or discarded. Some of the reasons are incorrect signatures, discrepancy in the numbers written on the check (in words and numbers) and overwriting. These problems are minor and can be resolved without court intervention. A big concern is when a check bounces off the drawer`s account due to a lack of funds. 2.
Another modest alternative is to ask the party for payment and try to get payment. This is especially true as the processing of cheque bounce cases in Mumbai takes more than 2-5 years. If you continue to go to the police, you will not receive your payment. Therefore, the only soft option is to convince the other party and ask them to pay. Here are the different reasons to return a cheque: Once the cheque return notice is issued, the beneficiary must give the subscriber 15 days from receipt of the cheque return notice to pay the amount of the cheque. If the subscriber does not pay the amount of the cheque even after 15 days, the beneficiary may bring an action against the subscriber within 30 days of the expiry of the 15-day period. Upon receipt of the claim, the court will issue a subpoena with an affidavit and a relevant written record and hear the matter. If the defaulting debtor is found guilty, he or she may be punished with a fine, which may be double the cheque, or imprisonment, which may be extended to two years or both. The bank also has the right to stop the checkbook function and close the account in case of repeated violations of the rejected checks. A bouncy check is a non-cashing of the payment by the subscriber to the drawer if it is submitted for payment to a bank but is not paid for any reason. Undeliverable cheques are one of the most common crimes in the financial world and can cause serious humiliation to a person.
Here is a step-by-step guide to the legal process available to someone who has received a rejected cheque. Cheque bounce is a condition that occurs due to non-payment of the amount due to lack of funds in the account. Immediate action must be taken to recover the amount. First, a letter is sent to the drawer to make the payment, otherwise a procedure is initiated. Sometimes an immediate settlement is made on the letter. Withdrawing a cheque is a serious offence punishable by imprisonment and a fine under the Negotiable Instruments Act. The subscriber to the cheque must present the cheque within 30 days of the date the cheque is cashed just to protect their rights under the Exchangeable Instruments Act. In India, under Section 138 of the Negotiable Instruments Act, bouncing cheques or failing to pay cheques is a serious offence punishable by a fine or imprisonment. A civil action may also be brought against the drawer for payment of the amount of the cheque. In the event of a civil action, the beneficiary cannot issue a notice of cheque bounce. The beneficiary can only issue a legal opinion to recover the amount. If you write a check from a specific bank account that does not have enough funds, it will be rejected.
This is the most common reason for check bounce in India. Banks usually stop payment and charge both parties a small fee. There has been a sharp increase in daily transactions, as cheques are a fairly easy way to transfer money. But the cases of cheque rebounds are also seeing a sharp increase. Once the entire trial is completed and the accused is found guilty, he can be punished with a fine, which can be double the amount of the check, or a prison sentence, which can be up to 2 years or even both. Since there is no set format for such an announcement, it should simply be sophisticated and relevant. The notification must explicitly refer to the main purpose of the notification, which is to demand payment from the drawer, while informing and warning the drawer of the legal consequences that may result from non-payment of the amount due. The recipient must keep proof of delivery of the message such as the postal receipt/online status of the message. If the cheque date is within three months, you can resubmit the cheque to the bank and have it rejected again.
Checks are used in almost all transactions such as loan repayment, salary payment, bills, fees, etc.