One of the essential requirements for a cheque bounce case is that the cheque should have been issued for payment of money for the discharge, in whole or in part, of any debt or other liability. Thus, if the cheque is issued for purchasing some goods or for payment for some services rendered or for some earlier debt or for payment of salary for some work done, etc., the offence under this section may be attracted. Moreover, the Explanation to Section 138 clarifies that “debt or other liability” means a legally enforceable debt or other liability. On the other hand, if the cheque is issued for any other purpose, for example, for giving loan to another person, or for giving a gift or donation to another person, offence under this section will not be attracted.
In your situation, from the limited facts that you have mentioned, it appears that the cheque was given as a security for a job in a company. It does not appear to have been given to discharge a debt or liability. Moreover, you have not even joined the job, as you have mentioned. Correct me on facts if I am wrong. In such situation, a cheque bounce case has little chance of success against you.
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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