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NOTICE U/S 138 OF NEGOTIABLE INSTRUMENT ACT

To

Shri Suresh Kumar Sharma

36/2 Krishna Vihar, Jakhan, Rajpur Road, Dehradun

Sub: Legal notice under Section 138 of the Negotiable Instruments Act for dishonor of
Cheque.

Dear Sir,
Under instructions and authority from my client M/S Doon Construction Company (herein
after called as my ‘client’), I do hereby serve upon you the following notice of demand under
Section 138 of the Negotiable Instrument Act, 1881:

1. That my client knows you, the notice, from the last 4-5 years and on the account you
had gained the faith and confidence of my client. That you demanded a friendly loan.
2. That earlier, you issued a cheque dated 23/04/2017 for Rs. 8,15,000/ drawn on my
client, in order to discharge your partial liability. At the time of issuing the cheque,
you assured my client that the same is good for value and will be honored as and
when presented.
3. That when the aforesaid cheque was presented, for encashment, by my client to his
banker i.e, the same was returned unpaid by the Banker with remarks “Funds
Insufficient”. This fact was brought to your notice by my client through a telephonic
call.
4. That despite a number of telephonic reminders, you considerably have failed to make
the payment due to my client and did not accede to the genuine request of my client.
Furthermore, you started to put the matter off and on, on the one pretext or the other.
So, now my client is left with no other option but to get served with the present legal
notice.
5. That you have considerably failed to comply with the provisions of the law and had
also failed to discharge your liability from your account. This, you have issued a
cheque which is bad for value and thereafter had got the same dishonored
intentionally and willfully.
6. That on account of the above facts, you are liable to be prosecuted under section 138
of the Negotiable Instrument Act, 1881 as amended upto date under which you are
liable to be punished with imprisonment which may extend to two years or with fine
which may extend to twice the amount of cheque or with both.
7. That under these circumstances, I call upon you to make the payment of Rs 8,15,000/
Being the principal amount of the aforesaid cheque, the charges for dishonor of
cheque along with notice fee of Rs. 1,000/ to my client either in cash or by demand
draft or Cheque which ever mode suits you better, within a period of 15 days from the
date of receipt of this notice, failing which I will be bound to take further necessary
action under the provisions of Negotiable Instrument Act, 1881 against you in the
competent court of law at your risk and cost.
8. Kindly take notice.

Note: Copy retained in my office for further use.

(The contents of this Legal Notice are read by me which are correct and true)

(Adv. Rakesh Khanna)

Advocate