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Bunny Chintu   20 February 2023

NI act case

Dear experts,
a cheque sent for bank for collection and the same returned with a memo "cheque out of range"
Can we file the case under section 138 of NI Act.
kindly advice on this.


 4 Replies

Advocate Bhartesh goyal (advocate)     20 February 2023

Yes, since cheque returns  due to reason " cheque out of range " means value of cheque is more than it's limit for encashment so it comes under the ambit of sec 138 of N.I.Act so you can initiate proceedings u/sec 138 of N.I.Act.

Dr J C Vashista (Advocate)     21 February 2023

Contact and consult a local prudent lawyer for appreciation of facts/ documents, professional advise and necessary proceeding.

Sudhir Kumar, Advocate (Advocate)     28 February 2023

whether cheque is out of monetary range or out of date.


Cheque dishonored for whatever resaons, send a demand notice u/sec. 138 b and demand for the dishonoured cheque amount within 15days fro the date of receipt of the demand notice. 

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