Скачать или смотреть Process of Case filed.. Negotiable Instruments Act, 1881

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Process of Case filed under the Negotiable Instruments Act, 1888..
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Here's a step-by-step process for a case filed under the Negotiable Instruments Act, 1881 (NI Act), particularly Section 138, which deals with cheque dishonour due to insufficient funds:

🔹 1. Issuance of Cheque
The drawer (accused) issues a cheque to the payee (complainant) to discharge a legal liability or debt.

🔹 2. Dishonour of Cheque
The payee presents the cheque to the bank.

The cheque is returned unpaid due to:

Insufficient funds/Account closed/Exceeds arrangement, etc.

Bank issues a cheque return memo stating the reason for dishonour.

🔹 3. Legal Notice (Demand Notice)
The payee must send a legal demand notice to the drawer within 30 days of receiving the cheque return memo.

The notice demands the cheque amount to be paid within 15 days of receiving the notice.

🔹 4. Failure to Make Payment
If the drawer fails to make the payment within 15 days of receipt of notice, the payee can file a criminal complaint under Section 138.

🔹 5. Filing of Complaint
The complaint must be filed within 30 days after the expiry of the 15-day notice period.

It is filed before a Judicial Magistrate First Class or Metropolitan Magistrate.

🔹 6. Court Process Begins
Pre-summoning evidence is filed by the complainant (usually affidavit and documents).

If the Magistrate is satisfied, he issues summons to the accused.

🔹 7. Appearance of Accused
The accused appears in court (personally or via advocate).

May apply for bail and submit a plea of not guilty.

🔹 8. Evidence Stage
Complainant’s Evidence: Affidavit, documents, witnesses (cross-examined by defence).

Defence Evidence: Accused presents defence witnesses and documents (if any).

🔹 9. Final Arguments
Both parties argue the case based on evidence.

🔹 10. Judgment
If found guilty: Accused is punished with imprisonment (up to 2 years) and/or fine (up to twice the cheque amount).

If found not guilty: Accused is acquitted.

🔹 11. Appeal
Aggrieved parties may file an appeal in Sessions Court within 30 days of judgment.

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