Misuse of sec 138: Please help

as per my knowledge, at the time of closing the bank account you have to surrender all the heques remain with you in your cheque book. why your friend has not informed the banker or lodge any fir about stolen of cheque. if the cheque was stolen then how the other signatory signed the said cheque and handed over to the complainant? why FIR lodged in 2003? the said notice addressed to your friend? under what capacity your friend has signed the cheque? whether your friend is a party to the said complaint? what about the other signatory? i'll help you but before that you have to answer my questions. i'm from bombay contact me if you require any kind of help in this matter.

all the best.

Hi!

Thank u very much for the reply. Your email has been very useful. The following may clarify  your  questions.

He surrendered the remaining checks but he did not notice the missing checks that is why he did not lodge the FIR then.

Sorry! now the other partner says that he probably signed it and gave these checks to the group as a security much before the account closure. 

The record show that everything was cleared with that group but  the group did not   return the check. When in 2003 the partner received a notice regarding some undue payment from the group then he tried to regain the checks but in vain. Failing which he launched the FIR.

In summary, the situation is like this: These checks were given as a security check to a group. All due amounts were  paid back to the group. The borrowing and payment were based on per transaction. Every transaction was independent of other. The last

business transaction was executed in 1999 -2000 but checks were not recovered. After two/three years of the last transaction, the group is misusing the check and demanding money as ‘morhaba’ charges on the past transactions. No one knows what these charges are? It is something new to all of us. Are such charges  permitted in India?

Kindly help us.

I thank you again for the kind reply

Regards

P.Ahmed

Dear Ahmed,

I have seen the problem and the suggestions on this page and my reply is limited to that.

1. You can show the FIR registered in 2003 to prove that these cheques were stolen.

2.Since the accounts due to the party had been duly paid, there is no legal liability to attract 138.

3. If the cheques were given as a surety as alleged by your freind this judgment may be some help to you[TITANOR COMPONENTS Ltd, GOA Vs TECHNO ENGINEERS, NEW DELHI & Anr, Bombay High Court,2009(1) Dishonor of Cheque Reporter 585. Decided on 21.8.2008].

4. What you say are true no one can harm you by 138. Just check up whether there was any actual transaction with the party prior to closure of account in 1998.

5.There is nothing called 'morhaba' charges attracting 138, NI Act.

Dear Sreekumar.R

thank u for your information.

Regards

pervez