Sec 138 c of negotiable instrument act


A legal notice was issued for dishonor of cheque, with a specific clause “that the cheque amount must be paid with in the Stipulated time as per negotiable instrument act,  failing which  legal action shall be taken through court of law” and the same was received by the accused on 25.02.2013,

 my doubts are that,

1)  1)  What is the stipulated time means, as per N.I act, is it 30 days or 15 days,

2)  2) On what day the case of action arises per N.I act, from the receipt of notice.  As  per as per sec 138 (C) of N.I Act.

3)  3)  What is the day before which a complaint has to be field before the court of law, is it 45 days or 60 days, from the receipt of notice by the accused. Any citation supporting the theory.

4)   4)   Is there any amendment in N.I act that cause of action arises only after 30 days of receipt of notice and citation regarding the issue.

5)   5)   Is there  any amendment in  sec 138 (C) of N.I Act.

 Many junior advocates like me have this doubt regarding calculating the time for  filing  complainant.

Thanking the members in anticipation.

 
Reply   
 
practicing advocate

Stipulated time for payment means : within 15 days from the datea of receipt of the notice.

Cause of action to filke a complaint arises next day after the expiry of 15th day.


Total likes : 1 times

 
Reply   
 


Advocate/ nadeemqureshi1@gmail.com

Dear Querist

 

as per your Doubt my opinion is mention below

 

1)  1).  What is the stipulated time means, as per N.I act, is it 30 days or 15 days,

Opinion: 15 days  according to Section 138 (b) of NI Act

 

2)  2) On what day the case of action arises per N.I act, from the receipt of notice.  As  per as per sec 138 (C) of N.I Act.

Opinion: the cause of actione arises after 15 days if the accused/drawer fails  to make the payment(after 16th day of the reciept of the notice)

 

3)  3)  What is the day before which a complaint has to be field before the court of law, is it 45 days or 60 days, from the receipt of notice by the accused. Any citation supporting the theory.

 

Opinion: after finish the 15 days of Notice period the cause of action arises from 16 days and the time limit to file the case before court is one month from that 16th day.

 

4)   4)   Is there any amendment in N.I act that cause of action arises only after 30 days of receipt of notice and citation regarding the issue.

 

Opinion: No amendment in this regard.

 

5)   5)   Is there  any amendment in  sec 138 (C) of N.I Act.

last amendment in 2002

Read the section 138 of NI ACt carefully

 

138. Dishonour of cheque for insufficiency, etc., of funds in the account. Where any cheque drawn by a person on an account maintained by him with a banker for payment of any amount of money to another person from out of that account for the discharge, in whole or in part, of any debt or other liability, is returned by the bank unpaid. either because of the amount of money standing to the credit of that account is insufficient to honour the cheque or that it exceeds the amount arranged to be paid from that account by an agreement made with that bank, such person shall be deemed to have committed an offence and shall, without prejudice. to any other provision of this Act, be punished with imprisonment for a term which may extend to one year, or with fine which may extend to twice the amount of the cheque, or with both: Provided that nothing contained in this section shall apply unless-

(a) the cheque has been, presented to the bank within a period of six months from the date on which it is drawn or within the period of its validity, whichever is earlier;
(b) the payee or the holder in due course. of the cheque as the case may be, makes a demand for the payment of the said amount of money by giving a notice, in writing, to the drawer of the cheque, within fifteen days of the receipt of information by him from the bank regarding the return of the cheque as unpaid; and
(c) the drawer of such cheque fails to make the payment of the said amount of money to the payee or, as the case may be, to the holder in due course of the cheque, within fifteen days of the receipt of the said notice. Explanation.- For the purposes of this section," debt or other liability" means a legally enforceable debt or other liability.
For Judgement you should read the Books or serch through google
 
Feel Free to Call

Total likes : 2 times

 
Reply   
 
 
practising Advocate

Dear Mr. Querashi,

I would like to bring in to your kind notice,the amendment made in section 138 (b) vide amendment (Act No 55 of 2002 ) dated 17.12.2002 (w.e.f.06.02.2003) vide which time period has been increased from 15 days to 30 days.

Ajit Singh Cheema


Total likes : 1 times

 
Reply   
 
solve problems in criminal cases. lawproblems@gmail.com

Advocate CHEEMA you are coming once in a while on this site, studied people like you will add quality to inputs.

Cheque bounce is a hot subject now and more and more such responses are essential.

 
Reply   
 
 
Advocate/ nadeemqureshi1@gmail.com

Dear  Cheema Sahab

Thanks for your reply, I remember about the Amendment but unfortunatily forget to write 30 day because tthe query is not related to this period or time.

 thanks again  Sir 

 

 
Reply   
 
ADVOCATE HIGH COURT-criminal /civil -youract@gmail.com

No citation needed it is basic provision in the law.

 

However if the process is issued after cause of action expired than the proceddings are illegal.

 

However what to do in such situation for that I also request other Ld experts to give their suggestions.

 
Reply   
 

Dear Frnd,

I want to query about Sec. 138 of N.I. Act Case, the complainant is complain in his banker's jurisdiction  I am from accused side the case is running in evidence stage Can I transferred the said case to Banker's jurisdiction where the cheque was issued which is in another State. Kindly advice me in details.

Thanks 

ASHWINI SINHA

 
Reply   
 

LEAVE A REPLY


    

Your are not logged in . Please login to post replies

Click here to Login / Register  



 

  Search Forum








×

Menu

Post a Suggestion for LCI Team
Post a Legal Query
Forensics & Evidence     |    x