Tag Archive for 'dishonour of cheques'

Useful Information on Cheque Bouncing

CHEQUES Cheque is a negotiable instrument.  Normally, cheques are issued either for the reason of statutory requirement or for the reason of securing proof of payment.  Crossed and account payee cheques are not negotiable by any person other than the payee.  It has to be deposited into his bank account.  In legal parlance, author of […]

Dishonor of Cheques

When a cheque is presented to a bank for payment and if it is not paid to the drawee, it is said to be dishonored or bounced. It is a negotiable instrument and so dishonoring of cheques is said to be a Criminal Offence under NEGOTIABLE INSTRUMENT ACT, 1881. The guilty can be charged with […]