Piyush (Director) 05 January 2014

138 n.i.act

Dear Sir

I had given a loan of 15L against PDC from HUF to a Private Limited Company and on due dated the post dated cheque bounced. I issued a letter giving 15 days time to the to the two directors at their residential address as well as office address. One of the directors notice sent by Speed Post returned whereas the other director as well as company notice was accepted. However the 15 days time elasped. I would like to know wether the two accepted notice id a good notice. When is the last date of filing complaint after 15 days has expired. Can I institute a cheating case in addition to 138 ? Will the accused get bail which will make my case weaker ?

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4 Replies

Nadeem Qureshi (Advocate/ nadeemqureshi1@gmail.com) 06 January 2014

Dear Querist

you can file a case u/s 138 of NI act, this offence is bailable offence and the accused has right to get bail, so the case is weaker or strong is not a bail matter.

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 ) 06 January 2014

Under provisions of negotiable instruments act.sec.138 a legal notice on behalf of complainant is issued to the defaulter whose cheque is dishonored. It should be issued within 15 days of dishonor of cheque by RPAD. All facts including the nature of transaction, amount of loan and or any other legally enforceable debt against which the said cheque was issued and the date of deposit in bank and date of dishonor of cheque should be mentioned in the notice.

b) The person who has issued cheque is directed to make the payment of amount of dishonored cheque within 15 days. In case the said payment is made within 15 days of service of notice then the matter ends.

c) But in case the said payment is not made within 15 days then the complainant has to file a criminal case in the court within 30 days from the expiry of notice period of 15 days.

Advocate Ravinder (Advocate/Attorney) 06 January 2014

Since the notice is served on company and one of the director, it is good notice. You have to convince the court that it is a good notice.

T. Kalaiselvan, Advocate (Advocate) 09 January 2014

You have initiated a legal process by issuing the notice of demand, now under the provisions of 138 of NI Act, you can file a private criminal complaint against them before the JMFC within 30 days from the date of expiry of the 15 days time given to them for compliance of the demand notice. Once you have filed a cheque bounce case a separate u/s 420 of IPC is not necessary.