Cheque bounce - first insufficient funds then stopped payment
Sethi Sohum
(Querist) 26 July 2013
This query is : Resolved
Dear Sir,
We as a delhi based dealer sold some goods to a noida party on 10th June in lieu of a 30 days PDC dated 10th Jul.
The cheque was returned due to "insufficient funds" on 11th Jul then again the same cheque "stopped" on 20th Jul.
We have misplaced the bank memo for "insufficient funds" but we do have a later "stopped payment" memo, however, bank says they will sign the statement in which "insufficient funds" is appearing clearly.
1. Can we file a case under NI 138?
2. Is Our partnership firm has to be registered with Registrar of Firms to pursue the case legally?
3. Since this is out of state sale, we do have the road permit no. that the party sent to receive the goods but do not have the Goods Receipt no., since noida is very close to delhi, the transporters deliver material without GR.
4. On the material receipt note they have just signed without stamp.
5. How strong is our case?
Although, the party has already exported the goods and we know their customer name also.
Please suggest.
Rajendra K Goyal
(Expert) 26 July 2013
1. Yes you can file.
2. It should be registered.
3. Depends upon how this is admitted by the court.
4. Sign of authorized person is sufficient to prove.
5. On the given facts, sufficient grounds exist.
Send legal notice within prescribed period.
For the lost memo you can get duplicate from the Bank. Call the Bank employee evidence in person during the proceedings. These days in CTC system cheque is not presented physically, only image is sent.
Raj Kumar Makkad
(Expert) 27 July 2013
1. Yes.
2. No need to do for filing such complaint.
3. No problem if there is otherwise you have sufficient evidence of the execution of the transaction from your side.
4. No problem if sign can be got matched.
5. Case is good.
