Refund of court fees on withdrawal of cheque-bouncing case

If a complainant withdraws the case under section 138 of the Negotiable Instruments Act, before the charges are framed, he could get a refund of up to 50% of the court fees paid If you plan to withdraw a cheque-bounce case in court before charges are framed, you may also receive about 50% of the court fees as refund. This move would not only benefit individuals, but also financial institutions who file such cases, then opt for out-of-court settlement. The Maharashtra government announced in a gazette notification in May that a claim for refund of court fees can be made after the withdrawal of the complaints for the cases, which are filed under section 138 of the Negotiable Instruments Act, 1881. In India, the Negotiable Instruments Act regulates commercial transactions which take place through cheques, promissory notes and bills of exchange. According to the Maharashtra government resolution (GR), the state government, in exercise of its powers conferred by section 43(2) of the Bombay Court Fees Act, 1959 will provide part of the court fees paid by the complainant under article 18 of schedule I, appended to the Act. Such refund will be paid to the complainant under two broad circumstances and conditions. First, under section 138 of the Negotiable Instruments Act, 1881, a refund of 50% of the total court fees will be made when the complainant withdraws a complaint, or when the offence was compounded, before framing of particulars/charges, provided the claim is made within one year from the date of withdrawal of the complaint. Similarly, 25% of the court fee will be refunded provided the complaint is withdrawn, or the offence is compounded, after farming of particulars/charges, or any subsequent stages of the complaint. Here again, a claim has to be made within a year.