negociable instrument act

Querist : Anonymous (Querist) 26 September 2010 This query is : Resolved
dear sir
i want to know about how many time
deposited cheque in the bank
my questation is
i issue cheque to the party .party was cheted me so i have instruction to the bank
for stop payment bank was permenantly stoped.
party was deposited cheque in the bank first time in his bank cheque was return with stop payment by drawer and party not to notice me within fifteen days but he was deposit again after 4 months and also return with same reason and notice to me but my questation was case is maintable?
in my point of view in two reason account has been closed and stop payment by drawer
not to deposit again and issue notice in first time

Follow Query

Report Abuse

Jatin Sapra 9312223345,Delhi (Expert) 26 September 2010
Dear,
Anonymous,
As you must be aware a cheque can be presented in bank within its validity i.e 6 months , no matter how many times it was presented in bank.I further eloborate but the limitation for filing a case u/s138 will run from giving statutary notice for payment.
yes case is maintainable and you will have to face trial.

Kiran Kumar (Expert) 26 September 2010
the cheque can be presented any no. of times within a period of 6 months, each default to give fresh cause of action.

however the catch point in ur case is that the Hon'ble SC has given strict interpretation to S.138 of NI Act.

in case of stop payment and closed account offence under S.138 NI is not made out...so dont worry about proceedings under S.138 but the other legal steps may follow.