Legal Question in Banking Law in India

I have provided some amount in lac to someone and in against he had given post dated cheque of that amount with repayment promise. before depositing that cheque i inquired balance in issueing bank , balance is not suffeciant to repay my cheque. in this case what should i do pls.help

1. when i should deposite cheque and party to whome i have provide money is now not replying to payback amount. and so it is sure that cheque is going to bounce back.

2. in cheque bounce case how can i sue the person leagely in court and recover my amount.

3. what are the legal procedure i should do so that i can recover my money in very short time by legal action.

4.how much time court will take to resolve my problem.


Asked on 1/24/11, 10:46 pm

1 Answer from Attorneys

The first step is to present the cheque for realization in the Bank. If it does not get hounered and it bounces then You need to send the intimation of such event to the issuer within 30 days from the date the cheque is returned through a legal notice of a lawyer.

If the issuer does not pay the amount within a given time frame then you can initiate and file Complaint u/s 138 of Negotiable Instrument Act- Dishouner of cheque before the District Magistrate who shall take the congnizance and will summon the accused and proceed further.

Normally such cases take around 2-3 years depending upon the degree of contesting capacity of the parties.

First stage is to send him a legal notice through your lawyer.

Regards

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Answered on 1/25/11, 1:18 am


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