Cheque bounce or cheque non-payment in a serious
offence in India punishable with imprisonment or fine under Section 138 of the
Negotiable Instruments Act. A legal notice has to be served. How can you do it?
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Cheque bounce notice must be issued by the payee to the defaulter, within 30 days of dishonor of cheque, by registered post (or Speed Post) acknowledgement due.
If the cheque defaulter fails to make payment within 15 days of cheque bounce notice, the payee should file a criminal case in a court within 30 days from the expiry of notice period of 15 days
Once the case is filed, the court will hear the case and issue summons under Section 138 of the Negotiable Instruments Act.
The cheque defaulter would then have to submit surety and appear before the Court for resolution of the matter.
-Original bank return memo
-Original postal receipt
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