Legal Question in Banking Law in India

Re: Section 138 of Negotiable Instruments Act 1881, India

Dear sir,

In reply it is stated that as per the ammendments in 2002,in section 138 the notice to the drawer was increased from 15 days to 30 days commencing fom the day when bank memo stating the dishonour is received. . however mere intimation is not enough to file complaint u/s 138 N.I.Act but demand of cheque ammount should also be raised and if the drawer fails to pay the cheque ammount within 15 days then complaint could be filed.30 days includes all holidays but if the the period is ending on the day when the holiday is falling then next working day shall be the last day.complaint should be filed within time once the notice is sent and if the drawee fails then there is bar in filing complaint.In case of any assistance you may contact on my mobile 9873343288(Delhi).

thanks.

siddharth srivastava

Re: Section 138 of Negotiable Instruments Act 1881, India

with effect from 6th February 2003, as per the Amendment Act of 2002, there is now 30 days time from the date of receipt of information of dishonour of cheque.Since the time is fixed in the Section itself, it cannot be extended by any public holidays intervening, which provision can apply, if dehors the Act in question, Limitation Act fixes the period for the particular step, which is not the case here. It will include all days whether one calls it working days or holidays.

Re: Section 138 of Negotiable Instruments Act 1881, India

It is true that now the period is 30 days as ammended and therefore notice is required to be sent within 30 days and not after that. If the last day is a holiday then the working day after the holiday is the last day but it is not advisable to wait till the last day for sending any notice. Contact with proper details.

Re: Section 138 of Negotiable Instruments Act 1881, India

Dear Sir,

Well, it is 30 days including holidays.

Regards,

Panduranga Acharya

0-9886742609

Re: Section 138 of Negotiable Instruments Act 1881, India

Yes,as per amendments made in 2002,the time limit has been increased to 30 days.Only the holidays falling on the last working day is taken into account for the increase in limitation.