In 138 , accused creat security chaque ground

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    • #892

      Sir i have an partnership firm , i was supply some goods to an retailer, for payment he is provide me 3 blank chaque with signature,and make an agreement on stamp paper.mention in agreement these chaque provide for payemtn purpose,company is use these chaque after inform the party,
      After 1 month of agreemnt i was start supply goods to party.accused recive 7 time goods delivery but only first 2 time he give reciving on bill.after long period delay payment i was issue an notice for deposit payemnt in acount. And then fill amount and date on chaque then present in court then chaque bounce. I was fill right or actual amount. But accused creat these ground in court-
      1. Chaque is give for security purpose
      2. Chaque was blank and company misuse the chaques
      3. At a time of agreemnt and chaque submition to company,goods are not recive this is the proof proper ledger and acount is not clear me, and company fill more amount on chaque without proper acountability.

      4. He is accept , he wasbuy goods but this amount is more than value of goods company is not clear acount, statemnent and bills.

      5. He is saying some goods quality is failed, so some clients of accused not pay due to quality.

      But realty is i was send so many time bills and statment copy and clear all due payemnt so many times but accused alwyas say he lost old stsmemt and bills before filing case.
      I have only first two bill Receving.
      Befor chaque deposit i was infor accurate amount and deposit date through notice.
      Now i dont accept in court that chauq amount and date made by our side, our lawyer say to me we will inform to court these chaques is balnk at a time of agreement only signature is draw but after all acount and ledger discus with accused they draw amount and date and informme for present, as per agreemnt i was give an notice for chaque presentation and present in bank then bounce.
      Ultimatly my amount in chaque is real its draw by pur side accused is liar ,i have bills also i was pay sale tax and income tax also and submit these all bills in sale tax filing also, how to solve case and what will i do, how to handle surity matter? How handle next my statemnt in court, how to handle case.

    • #893

      Please see the following articles, which cover reply to your question:

      Dishonour of cheque given as security – whether offence under Section 138 N.I. Act made out?

      Cheque issued as security but stopped due to no service provided by broker

      Cheque given as security, amount and date filled in by payee

      Generally speaking, no offence under section 138 of the Negotiable Instruments Act will be made out if the cheque that has been dishonoured was issued only as a security and not for discharge of any debt or liability.

      Therefore, you have to prove in the court that the cheque was given not as security but towards payment of amount due to you. This proof can be given in court by exhibiting relevant documents, such as bills, goods supplied, etc.     


      Dr. Ashok Dhamija is a New Delhi based Supreme Court Advocate and author of law books. Read more about him by clicking here. List of his Forum Replies. List of his other articles. List of his Quora Answers. List of his YouTube Videos.

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