issue of pre signed blank cheque to employer

Querist : Anonymous (Querist) 19 June 2010 This query is : Resolved
two pre signed blank cheques were issued to employer. bank is not accepting 'stop payment advise' since details reqd as under:
- issued in favour of

- date of cheque

- amount specified in the cheque

in the absence of the above , bank will not do 'stop payment' just based on cheque no alone.

how to protect from risk involved? pl clarify

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Querist : Anonymous (Querist) 19 June 2010
blank i.e left as blank

Raj Kumar Makkad (Expert) 19 June 2010
There is no need to mention all details while directing banker to stop payment. Merely cheque no. is sufficient for that purpose.

B K Raghavendra Rao (Expert) 19 June 2010
The bank's requirement is justified. More over, you need to say why the cheque payment should be stopped. In genuine cases, there should not be any problem in revealing the information required as well as the cause for such a stop payment action. Merely issuing a stop payment order would not absolve a person of his cheque bounce offence.

Parthasarathi Loganathan (Expert) 20 June 2010
Right of stop payment of cheque is vested only with the drawer and the bank takes instruction only from the account holder and not the beneficiary.

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