Legal Question in Banking Law in India

Re: DD returned

It means the purchaser of DD had reported loss of DD instrument; you may need to approach the purchaser and obtain from him a writing about the correct position.

Re: DD returned

If you are the correct payee, you must take up with the drawee Bank with copy to the purchaser of the draft to the effect that the draft cannot be returned as lost as you as the correct payee is entitled to payment. The return by the Bank as ' reported lost' would only indicate that the purchaser has reported to the issuing bank that the draft has been lost. If you are the correct payee you can contest the return and insist on payment. If further refused you can sue the Banker.