Home | Legal Advice | Cheque Bounce Cases | Section 142 NI Act

Section 142 NI Act

Section 142: Cognizance of offences

(1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974),—

(a) no court shall take cognizance of any offence punishable under Section 138 except upon a complaint, in writing, made by the payee or, as the case may be, the holder in due course of the cheque;

(b) such complaint is made within one month of the date on which the cause of action arises under clause (c) of the proviso to Section 138:

Provided that the cognizance of a complaint may be taken by the court after the prescribed period, if the complainant satisfies the court that he had sufficient cause for not making a complaint within such period.

(c) no court inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the first class shall try any offence punishable under Section 138.

(2) The offence under Section 138 shall be inquired into and tried only by a court within whose local jurisdiction,—

(a) if the cheque is delivered for collection through an account, the branch of the bank where the payee or holder in due course, as the case may be, maintains the account, is situated; or

(b) if the cheque is presented for payment by the payee or holder in due course, otherwise through an account, the branch of the drawee bank where the drawer maintains the account, is situated.

Explanation.—For the purposes of clause (a), where a cheque is delivered for collection at any branch of the bank of the payee or holder in due course, then, the cheque shall be deemed to have been delivered to the branch of the bank in which the payee or holder in due course, as the case may be, maintains the account.

Lawyer’s advice

Section 138: Negotiable Instrument Act

Section 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...

What to do when someone forcefully took signed cheque book

My friend forcefully took my signed cheque book and presented nine cheques in the bank. All cheques have bounced due to insufficient fund in my saving bank account. After that, he sent a legal notice to make the full payment in fifteen days. Sir, I want to inform you...

Cheque bounce due to the closure of account

I have given 28000 to my friend after some time he gave me a cheque. When I presented that cheque to the bank for its encashment, it became dishonoured due to the closure of the account. However, I have his bike ok and RTO papers and want to recover that amount by...

Kanoonirai established in 2014. It provides a facility to consult a lawyer through online media, telephonic consultation and video conferencing.

Contact

mail[at]kanoonirai.com
+91-91400-4[nine][six]54