NI Act Cheque Bounce and it’s remedies.

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Accepted Answer

NI Act Cheque Bounce and its remedies

The Negotiable Instruments Act (NI Act) deals with the issue of cheque bounce in India
When a cheque is dishonored due to insufficient funds or other reasons, it is considered a cheque bounce
The remedies available under the NI Act include legal action against the defaulter
The payee can send a legal notice to the drawer of the bounced cheque demanding payment within 15 days
If the payment is not made within the stipulated time, a complaint can be filed in the appropriate court
The court may issue a summons to the defaulter and if found guilty, impose penalties and/or imprisonment
The payee can also approach the bank to initiate proceedings under the NI Act
The bank may issue a notice to the drawer and if the payment is not made, the bank can file a complaint
The bank can also initiate proceedings under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act
The remedies under the NI Act aim to ensure prompt payment and deter cheque bouncing

Accepted Answer

U/S Section 138 NI act chaque bounce case could be file in the court and solve the issue

Accepted Answer

File case U/s 138 of NI Act or solve through negotiation

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