Legal Question in Banking Law in India

There was a Current a/c (Sole proprietorship a/c) with the Bank. Bank gets information of the death of the proprietor. Subsequently, bank receives cheques (bearing date before his death) through clearing for collection. Whether the Bank can pay the cheque? clarify.


Asked on 7/26/11, 12:14 pm

2 Answers from Attorneys
Chandrawat, Call- +91-8109444689 Litigation Expert & Legal Advisor ([email protected])

Cheque clearance department is different from bank record updation department, hence unless it was communicated to bank or by them self they have updated death of account holder in their records, there are very rare chances for default in cheque clearance.

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Answered on 7/27/11, 3:29 am
Aniruddha Pawse Aniruddha.P.Pawse Advocates

i agree with Adv Chandrawat

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Answered on 7/27/11, 3:51 am


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