Is legal heirs liable for cheque of drawer?

Even though under the above section, presentment can be made to the legal representative of the maker or drawee of the cheque, legal heir of the maker or drawee of the cheque is not liable for criminal action under Section 138 of the Act. Being a legal representative, she is legally entitled to hold the cheque.

What are the essentials for any legal action for Offences under Section 138 of the NI Act?

The offence is said to be committed under Section 138 of the NI Act, only when he fails to pay the debt within 15 days and such person shall be punishable with imprisonment for a term which may be extended to two years, or with a fine which may extend to twice the amount of the cheque, or with both.

What are the provisions of section 138 of Negotiable Instrument Act bouncing of cheque?

Section 138 provides that when the cheque is dishonored for insufficiency of funds or for any of the prescribed reasons, the one who is at defaulter can be punished with imprisonment for a term which may extend to two years, or with fine which may extend to twice the amount of the cheque, or both.

What is the time limit for cheque bounce case?

within 30 days
Under Section 138 of the Act, the offence of cheque bounce is a criminal offence for which the payee can initiate a criminal suit. The payee must file the complaint against cheque bounce before the Magistrate within 30 days of the expiry of 15 days of the issuance of the cheque bounce notice.

Can the holder of negotiable instrument?

A holder is one who has possession of and is entitled to enforce the instrument. So, a person who is named as payee and possesses an instrument is a holder. A person can also become a holder by receiving the draft through negotiation of the instrument.

Can I do fir for cheque bounce?

1. Yes, you can now go for registering an FIR against the person who has given you that cheque. One is registration of FIR. iT WOULD BE UNDER 420, 406 etc of IPC.

How many cheque bounces are allowed?

The bank may stop the cheque book facility or even close your account. Although the Reserve Bank of India states that such action can be taken only if cheques, valued Rs 1 crore or above, have bounced more than four times.