Negotiable Instrument Act

Arun (Querist) 07 December 2008 This query is : Resolved
Will Self cheques come within the scope of NI Act if yes...?

plz tell me any reported cases for reference

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PALNITKAR V.V. (Expert) 07 December 2008
The query is not specific and clear.Should I assume that you are the drawer of the self cheque and you are presenting it for encashment?.If you are drawer of the cheque and if you present it for encashment, how the provisions of NIAct especially Sec. 138 would come in picture. But if you negotiate it with someone and he presents it, then perhaps NIAct would come in picture.

Adv.Shine Thomas (Expert) 08 December 2008
I agree with Mr.Palnitkar.

G. ARAVINTHAN (Expert) 08 December 2008
Seflf CHeques? How can it be sued ? Be clear

Arun (Querist) 08 December 2008
Hi,palnitkar i think u got my question in ur latter part of ur reply... i mean when self cheque is endrosed by other the drawer and when it is dishonoured ... can drawer be sued...?

H. S. Thukral (Expert) 08 December 2008
No. A cheque issued mentioning payee as self does not come within the mischief of section 138 NI Act

G.G.Shaikh Advocate M:9898038990 (Expert) 08 December 2008
yes i fully with mr Harbhajan self cheque is not come in scope of ni act

kumar sachin (Expert) 09 December 2008
me too with harbhajan sir, self cheque does not come within section 138 NI Act

Sachin Bhatia (Expert) 12 December 2008
If the cheque is presented by the account holder himself in the bank than it does not come with in section 138 of N I Act, but if it is presented by any other person who is the bearer of the cheque can file a complaint u/s 138 of N I Act.