Negotiable Instruments Act, 1881
Section - 138 - Dishonour of cheque for insufficiency, etc., of funds in the account
[CHAPTER XVII
OF PENALTIES IN CASE OF DISHONOUR OF CERTAIN CHEQUES FOR INSUFFICIENCY OF FUNDS IN THE ACCOUNTS
Dishonour of cheque for insufficiency, etc., of funds in the account.
138. 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 [two years], 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, .... To read the full section download the app from Google Play store
06 July 2026
Chartered Accountant (Indirect Taxation)Gowra Ventures Pvt Ltd Hyderabad CA View Details
ARTICLESHIP
24 June 2026
ARTICLE ASSISTANTBHUPINDER SHAH AND COMPANY New Delhi CA Inter View Details
ARTICLESHIP
30 June 2026
Taxation Content Writer InternInteractive Media Pvt Ltd. New Delhi CA Inter View Details |
CAclubindia
