MUTHU MANICKAM (SERVICE) 08 February 2011

need help on cheque bouncing

Dear All,

In continuation my previous question, one person got my some of the cheques without name and he is threttening me that he will put the cheques with other person name in other state. He doesn't want to present his name because I have paid him the money through bank transfer.

Now my questions are

1. If the person deposit my cheque with some one else name in other state I need to go the other state court?

2. Just like that any one can write the name of any persons cheque and deposit? Even though I have not received any money from him?

3. He is sending nasty sms through mobile, what I should do?

Thanks and regards

Muthu

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3 Replies

Mohammed Rizwan Shaikh (AM) 09 February 2011

Hi Muthu,

Simply send a "STOP PAYMENT " application to your bank and dont forget to mention the cheque numbers. Soeven if the other person deposits the cheque in any part of the world, the payment will be stopped. OR you can just inform your bank about the incident, they will keep an eye on your transactions and will inform you accordingly.

Regards,

Rizwan

1 Like

Samir Jha (Advocate) 09 February 2011

Dear Mr. Muthu,

As Mr. Sheikh is right that as much as making a stop payment request to the bank clearly mentioning the cheque numbers and also state the reason in the request. Make a complaint to local police station and keep a copy of the complaint with you with the seal, stamp and DD number.

Secondly and importantly, making a stop payment will NOT absolve you from the prosecution under section 138 NI Act. But the above noted documents will help you in proving your case because a person is liable under section 138 only if the cheque is issued in discharge of any liability, so once you will raise the issue, the other party to the complaint has to prove the liability under which you issued the cheque.

As far as the question of jurisdiction is order to make jurisdiction one has to show that the cause of has arisen in that particular state. Kindly search on the internet about a judgment in the matter of Religare Pvt. Ltd. passed by Hon'ble Delhi High court by J. S.N. Agarwal in 2010. Also look into the judgment of Harman Electronics.

regards

Adesh Kumar Sharma (Senior Associate Lawyer) 10 February 2011

Mr. Muthu,

First make request for stop payment.............then register a criminal complaint with police stating therein that the fellow is having your cheques and now he is threatening to misuse them. At last for the sake of precaution issue a legal notice stating therein to return those cheques as you have made payment against them.

If you take all the precautions then it will help you in case if your cheques are misused.

Thanks