Section 138 of Negotiable Instruments Act, 1881
Section 138 of Negotiable Instruments Act, 1881 Section 138 related to dishonour of cheque for insufficiency, etc. of fund in the account. Where any cheque drawn by a person on an account maintained by him with a banker- · for payment of any amount of money · to another person from that account · Either because of the : - Amount of money standing to the credit of that account is insufficient to honour the cheque, or That it exceeds the amount arranged to be paid from that account by an agreement made with that bank. Punishment :- Maximum imprisonment 2 year, or Maximum Fine Twice of Amount, or Both. Bail amount in under section 138 of negotiable act, 1881 Law requires the accused to deposit 20% of cheque amount failing which case will be heard and decided ex-party. Provided that this section shall not apply, unless- Cheque present...