Bounced Cheques & Section 138:Choosing the Right Jurisdiction for Legal Action

Introduction A cheque recipient often expects the cheque to be honoured by the drawee bank when it is presented for payment. When the drawer’s account lacks sufficient funds, however, the cheque will be returned unpaid. Section 138 of the Negotiable Instruments Act, 1881 provides a criminal remedy in such cases: it makes it an offence […]