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Dishonour of cheque

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FORMAT

NOTICE UNDER SECTION 138 OF THE NEGOTIABLE INSTURMENTS ACT 1881

To,

M/s _______

Address ______

Attention: Mr. / Ms _____

Dear Sir,

  1. On 1.1.2001 I..., entered into an agreement with you for supply of 1,000 meters of silk fabric.

  2. That on 15.1.2001 delivery of 1,000 meters was made to you and in lieu of the cloth supplied you issued a cheque for a sum of Rs.40, 000, dated 15.1.2001, drawn on State Bank of India, Saket Branch, Bangalore.

  3. That when the said cheque was presented for payment to your bankers on 30.1.2001 it was returned unpaid on 2.2.2001 with the remark insufficient funds.

  4. That you are called upon to make payment of the abovementioned amount within 15 days of receipt of this notice failing which you shall be liable for criminal action under the Code of Criminal Procedure and Section 138 to 142 of the Negotiable Instruments Act, 1881.

DATED:

SIGNED

(NAME AND ADDRESS)

 
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Introduction
What constitutes an offence
Offences by companies
Presentation of Cheque
Effect of stop payment
Notice in case of dishonour
Period of payment
Remedies
Filing of a complaint
Format

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