Professional Documents
Culture Documents
Mithelesh
BA0130038
Introduction
A cheque as a negotiable instrument has been
clearly defined under Section 6 of the Negotiable
instrument Act.
"a bill of exchange drawn on a specified banker and
not expressed to be payable otherwise than on
demand".
Advent of Cheques have give a new dimensions
to the commercial world
Since business activities have increased, the
attempt to commit crimes and indulge in
activities for making easy money have also
increased
Dishonour of Cheques
"Dishonour" means "to refuse or neglect to
accept or pay when duly presented for
payment of a bill of exchange or a promissory
note or draft on a banker.
Dishonour Of Cheques have been dealt in
Sec.138 of the NI Act,1881.
Section 138 is dealing with dishonour in case
of insufficient of funds
Sec.138 Of NI Act,1881
Ingredients
Cheque drawn on a bank account.
Issue of Cheque in discharge of a
debt or liability .
If the above conditions are fulfilled,
then this section will be attracted
irrespective of the mental conditions.
Exclusion Of Mens Rea and Cause of
Action
For committing an offence under Section 138 of the
Act "mens rea" is not an essential ingredient.
Mahendra A.Dadia V. State of Maharashtra (2000) (1)
Civil Court Cases 438 (Bom.)