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Bounced check legal help

6 years 10 months ago - 6 years 10 months ago #1 by vijaykdp

I lent Rs. 10000 to [person] who is my colleague at [...], Frazer Town, Bangalore on March 11 2010. [Person] agreed to pay back the same amound after 10 days. As a matter of trust, the same gentleman issued me a check for Rs.10000 to be paid on 07/04/2010. However, the issued check was bounced on 08/04/2010 due to insufficient funds.

After repeated pleas, the same gentleman did not pay me loan amount of Rs. 10000. He is so violent, rebounding and threatening he would never pay me the same amount. Kindly provide me legal advice on how to proceed further and next steps to initiated.

Is Rs.10000 a paltry amount that justice is deferred?
What should I do as a next step? File a compliant in a police station or reach the lawyer.
6 years 10 months ago #2 by corporatearmour
As I understand, you had extended the financial assistance to your friend against a Cheque, but upon presentation of the said Cheque, you have received a Bank Memo for "return of cheque" with an endorsement that amount is "insufficient" etc..

Whenever, the Cheque is returned, the remedy lies under Section 138 of Indian Negotiable Instruments Act. You are required to issue a statutory notice to the person who has drawn the Cheque within a period of limitation prescribed. And in case, the person who has drawn the Cheque does not pay back the amount after service of statutory notice, you acquire a right to file a Criminal Complaint directly in the Criminal Court, but within the statutory period of limitation.

Here,it appears that you received the bounced cheque memo somewhere in the month of April, 2010, but you have contemplated no actions and even service of notice. Under such circumstances, you have allowed the time to pass. However, you may again represent the Cheque for enacashment, and if the same is again bounced, you immediately serve a notice under Section 138 of Negotiable instrument Act. Fifteen days time is required to be granted for complying with the notice. And thereafter you may file the complaint.

You can not approach the Police station for this issue, because the police has no authority to lodge a complaint in cheque bounce case. This is specially so because remedy is provided under Section 138 of Indian Penal Code. And you can directly file the criminal complaint before the court of competent jurisdiction. Court of Competent jurisdiction shall mean the court where your cheque is bounced and communicated.

It is advisable that you hire the services of local lawyer, because you cannot complete the task and comply with legal technicalities own your own.

If you have further questions to ask, please mail me at

Hemang D. Rana
Senior Advocate
High Court of Gujarat, Ahmedabad
The following user(s) said Thank You: kianganz, vijaykdp
  • aatish
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4 years 11 months ago #3 by aatish
Dear sir,
Best wishes, My name is aatish khan, Jaipur, Rajasthan. I was employee in a private limited company and worked as freelancer also. one of our client order us a website sum of rupee 30,000.00 (complete package) with agreement. during the website as the side of the company we completed all the facilities in website as per the package. after that the client need some 3rd party applications & services, he asked me about freelancing work so i do as he want but not breaking my own company's rules (the services which my company not providing only that i'll providing his as freelancer) after completing the work getting his confirmation i ask for money then he make me fool like today-next day..... then one day i reached his office and ask for post dated chaque so he gave me that from his brother's personal a/c (Due to TAX saving & all) so i told him its ok coz i need money as my work. after 5 days on date i go to bank and ask about the a/c to fund then banker said there are not sufficient fund in that a/c, as that i called him he told me you can deposited after 3 days. after 3 days i called him and ask for clearing he assured me that no problem your chaque will cleared no issue, but after 3 days i got message from bank that that chaque had bounced, after that the person wont pic my call for 3 days again i got his office than same he told me he was sucked in some work so he can after 10 day he will pay me cash. today is one months has over. but all are same and on his complain that i misbehaved him and provide him fake & incomplete information my company terminated from job ... now i am jobless and my payment will sucked and i am in very hard mental depression coz my all family think i ditched my company and client but honestly i never did that i just provide that things in that my company never deal in any meter.
every time when i try to call him he give a date but @ that time he made an excuse for payment, he never said that he will not pay me but as his behavior shows that he wont pay me coz my chaque dated 10/04/2012 n today 09/05/2012 and he cant tell clearly that he will payment or not... plz tell me a way ....
Tx in advance & Regard
Er. Aatish khan
  • Anonymous
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4 years 11 months ago #4 by Anonymous
I thank you very much for your clear cut answers which help people who are looking for solutions during their hard times

I have clean record in India.

But unfortunately, I am in big trouble as I lost employment in UAE and I have outstanding loans and credit card dues to be paid in UAE. It is possible for me to clear these dues on monthly instalment basis if I continue in the employment. Meantime, the banks presented the security cheques and it got bounced. So there is cheque bounce criminal offence case registered by Police in UAE.

Whatever money borrowed from UAE banks is spent inside UAE (bad investment done by me on a business and I was a grave loser) and I did not take any money to India.

I want to know whether police in India will arrest me for this?

or INTERPOL will issue red corner notice for this and CBI will arrest me in India?

Or whether INTERPOL and CBI will extradite me back to UAE from here and will they put me in Jail in UAE?

Cheque bounce is criminal offense in UAE.... and so the bank and their collection agencies are threatening me.

I am really afraid sir..........
  • Advocate Sam
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4 years 6 months ago #5 by Advocate Sam
You are free bird in India
you need not worry
you are safe in India be here only.
  • Dipak Srimal
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4 years 4 months ago #6 by Dipak Srimal

I am a distributor of computer goods and had sold a few items totalling Rs.67,000 to a retailer against 2 invoices in the month of August. The retailer had issued 2 post dated cheques as is prevalent in our line of business. I received a call from the retailer just before the due date in September to not deposit the cheque as he had some problem and asked me to hold one cheque and deposit the other cheque as per due date. However, in the last week of September when I deposited, the cheque got dishonoured and he promised to get back to me with cash payment and asked me to drop the other fresh cheque after 7 days. The other cheque also got dishonoured.

Now in the first week of October I had sent him a notice by Regd A/D intimating him of the dishonour of his cheques and that I would be compelled to take legal action. In the the last week of October again both the cheques were deposited on his verbal consent but both got dishonoured once again. However in the first week of November he paid me Rs.8000 in cash. After which inspite of several phone calls and personal visits nothing seems to happen. Now I am convinced that I have to take legal action. But I do not know how to proceed in this case. I also have a fresh blank cheque issued by him, though his dishonoured cheques are still within validity.

I am incurring losses in respect of correspondence, personal visits, interest as well as bank charges for dishonour of cheques.
  • check bounced
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4 years 3 months ago #7 by check bounced

Relating to land selling, my relative gave check to worth 420000.00, but the check is bounced on 22/11/2012 and bounced check went to some branch of bank, we could not get check still. if we get check with in 10 days, can we proceed leagally or no use. please suggest me in this regard,
  • Rish
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4 years 3 months ago #8 by Rish
Dear Sir/Madam,

I run a textile wholesale business and 1 of clients has been defaulting on payment for more than 5 months. I have 5 cheques from him which amount to Rs 27000 which is exactly what he owes me. All his cheques have bounced and he is refusing to make any payment. Is it feasible for me to sue him? How should I proceed with my case?

Also note, out of 5 cheques, 3 are from ICICI bank and the signatory is the proprietor of the company and the remaining 2 are from ING Vysya bank, but the signatories name is not mentioned. Would this cause any complication?

Please let me know what my options are.

Thank You
4 years 3 months ago #9 by Dxbafu

7 months back i rented my house, due urgeny of the teneant i gave pocession of the house to the tenant without making the rental agreement and owes me money for the security deposit which has not been paid in full, the tenenat has not paid the rent for the past 6 months , the talking has resulted in getting no where all false promises and i am cannot accomodate they in any way.

I did take 6 cheques from them which are balnk signed cheques, i would like to use them to recover my rent more than what they owe me due to the mental strain and stress i am going through for this.
Pls advise what strick action can be taken, preferbally police arrest and jail would be something the tenant would be sacred of and come to terms.

unfourtunatley all Indian Laws are time consuming with the plantiff going through lot of pain and agony for simplest of things.

Pls advise your opinion on how to proceed.
4 years 2 months ago #10 by kashyap.mansi
My father took some money from a private lender...he pressurized my father and took some blank cheques from him. Since the money was not taken legally and he was charging unreasonable amount of interest...my father was able to re-paid most of the amount but could not pay back some part of the cumulative interest. It happened some 8 years back. Now, that person has filed a case of bouncing the cheques against us. What actions could we take?
  • parveen
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4 years 2 months ago #11 by parveen
dear sir i was working as distributor of reputed co through c&f/ franchisee. some advance cheques were given as security to him. till dec-11 all goods recd against advance payment in form of a/c payee cheques or cash. in jan-12 order was dispatched to us and cash was paid and receving of goods was given on bill copy. cash paid was also written on bill copy. now c&f filed case on me after presenting the advance cheque in bank on behalf of bills which were paid in cash an same was also written on bill receving. now please advice me what to do in this regard as i have not to pay any amount but i have to reveive balance amount against different claims. please
  • dhanaji nirmal
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4 years 2 months ago #12 by dhanaji nirmal
i give rupees 1,00,000 to my friend & hi give me check but after some day check bounce.my friend run away from city & he going to another city.
please help me.
4 years 2 months ago #13 by Madhusudhan.R
Hi dhanaji nirmal

The LAW is abide by Limitation, The cheque has been bounce due to insufficiency of funds in account, within in 30 days send a LEGAL NOTICE to the person who has issued the Cheque.
4 years 2 months ago #14 by kianganz
Here is something helpful on cheque bouncing procedures from Joginder Singh in another thread .

Please do the following:
1. Within 30 days of the return of the cheque issue a notice to the drawer( person who has issued the cheque) requesting him to make payment of the amount of bounced cheque within 15 days.
2. If he does not make the payment within 15 days, then file a complaint under Section 138 of NI Act in the court of Judicial Magistrate 1st Class within 30 days.
( Some times the name of the drawer is not clear on the cheque and also there is no mention of the address of the drawer. You may contact the Bank on which the chqeque is issued and request the Bank to provide you the complete name of the drawer alongwith his address)
Please note that in order to file complaint under section 138 of NI Act, notice to the drawer within 30 days is a must and if the payment is not made by him within 15 days then the filing of the complaint with the JMIC must be done within 30 days.

Kian Ganz, Publishing editor, LegallyIndia.com
  • dillip mishra
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4 years 2 months ago - 4 years 2 months ago #15 by dillip mishra
Dear Sir ,
I have Given Check of amount 1,50,000.00 to a person on good faith ,that He will do my job in a company & deposit the check at bank. but he does not do the work and deposit the same .

Due to insufficient fund (another) check has bounced. The bounced date has passed 4 months. can he put a case against me ?
thanks & regards
  • Anonymous
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4 years 2 months ago #16 by Anonymous
Dear Sir,

I have few queries on how to send a legal notice.

What will happen if the address given by the bank is fake or the issuer is not currently staying in that particular address?
What will happen if the issuer of the check refuses to accept the registered post through which we are sending the legal notice?

Is there any way we can prove that we have sent the legal notice to the issuer?

  • Mehul Patel
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4 years 1 month ago #17 by Mehul Patel
Dear Sir, Thank you so much to discuss and providing us knowledge of our rights to take against this kind of Bounced cheque issue. I have the same problem and I want to write application to Public Information Officer for requesting personal information of cheque drawer like his address, account opening form, photo id proof so I can take legal procedure further. Can you provide us any format or sample of application requesting this kind of information to PO.?
  • Rachit
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4 years 1 month ago #18 by Rachit
in May 2011 I lost my three cheques and my bacluck they were signed coz i was about to give those cheques to someone.so I blocked those cheques immediately....but again my bad luck someone whom I dont even know found those cheques and he wrote his name (as name was not written on cheques ) and appied in bank although cheques were block bt bank gave him a memo of "INSUFFICIENT FUND" on the basis of that memo he filed a case against me...I had that bank account in Hyderabad they did not inform me anything. Now I have to go in court for this issue..how to handle this issue..pls pls give me suggestion how to punish tht guy...:(
  • Anonymous
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3 years 10 months ago #19 by Anonymous
Hi i am an employee in an call center. When my offer letter was released, there wer some terms and conditions in it. The terms was such that i was on an service agreement for 2 years, and if i quit within that period i would have to pay 36000 rs for my company. For which they have taken a written cheque of 36000 with no date mentioned in it. If i quit the job within the agreement period and if i dont pay them the 36000rs. Will the company be able to sue me with a written cheque which i had given in favour of the company. Please advice
  • Anonymous
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3 years 10 months ago #20 by Anonymous
Dear Sir. i am an employee in an call center. When my offer letter was released, there wer some terms and conditions in it. The terms was such that i was on an service agreement for 2 years, and if i quit within that period i would have to pay 36000 rs for my company. For which they have taken a written cheque of 36000 with no date mentioned in it. If i quit the job within the agreement period and if i dont pay them the 36000rs. Will the company be able to sue me with a written cheque which i had given in favour of the company. Please advice
  • Joy Christian
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3 years 9 months ago #21 by Joy Christian
Respected Sir,

With reference to subject i request you to help me out of this problem.
i had given 1,70,000 to one person as he came to me with some purchasing land issue he promised me to give that within 7 days.i provided him the same.but he failed to fulfill his promise and he did not pay me back the amount and i was totally helpless b'coz i had to legal proof that i have given him that amount after sometime he refused to pay that amount.just b'coz lack of enough proof i had to step back and sit quite with the loss of 1,70,000/-.
But after few months he came back with some his family problem and he asked me to provide some help of 80,000/- and this time he came with checkbook. he said that i will give you blank check if you provide me this amount...i will return this amount within 90 days.... in relation he is my uncle so this time also i provided him 80,000/- and i took 2 blank check, 1 promise note.
Now my problem is this time also he is not willing to pay my money back.
If i want to recover my whole amount 1,70,000+80,000=2,50,000/-
how should i proceed to file a legal action against him...?

Kindly guide me and help me out of this trouble,

thanking you,

With regards,

-Joy Christian
  • A. Parihar
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3 years 8 months ago #22 by A. Parihar
I'm a student who was staying in Delhi for a month, in December, and had taken a PG, and there was no documentation of any sort, here. I was to pay an amount of Rs 7,500/- for the month and another Rs. 7,500/- as security. On leaving, I wasn't provided with a security from the person running the PG, but a cheque which bounced repeatedly. A notice was sent, but we later came to know that the person has shifted his residence, and his phone numbers have also been cancelled and there is no way to contact thus person.

Is there anyway to track this person down through the bank where his account is, using the account no, on the cheque?
3 years 7 months ago #23 by HIMALAY
Respected Sir,

I was working in UAE and suddenly three months ago without any reason my company terminated me.

I had taken loan and used 4 credit cards, all sum together 90lakh Indian Rupees.

I was paying regularly when I was in UAE.

Now, as I am in India, I have been unable to pay this. UAE banks are sending E-mails and insisting for payment. As three months has passed they tried to encash the security cheque, it bounced. Now they are giving warning that they will file a cheque bounce case against me in UAE(I had signed security cheques at the time of availing credit).

Their collection agents in India are also calling me and threatening me that INTER POLE will issue red corner notice and I will be arrested in India.

I don't wish to go back to UAE.

What should be my stand in this case?
Please help.
3 years 7 months ago #24 by HIMALAY
Now,I am also in the same condition. I want to know that " what happened to you? How you handled the worst situation?
Pls reply here or on my email:

Me and my family will be very thankful to you.
  • ahmed
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3 years 7 months ago #25 by ahmed
It is possible to send money to UAE if you want we will help you....

Ahmed - 8643075937

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