New Cheque Bounce Bill introduced in Lok Sabha

A bill that provides for trial in cheque bounce cases at the place where the cheque was submitted and not the place of issue was introduced in the Lok Sabha today. This could help solve the problem of millions suffering from jurisdictional issues.

The Negotiable Instruments (Amendment) Bill, 2015 was introduced by the Finance Minister Arun Jaitley and is looking to replace an older ordinance passed last month. The last ordinance could not be passed in the Rajya Sabha during the Budget session.

The amendment rules that cases of bouncing of cheques can be filed only in a court in whose jurisdiction the bank branch of the payee is placed in. If a complaint against a person issuing a cheque has been filed in the court with the relevant jurisdiction, all subsequent complaints against that person will be filed in the same court.

Image credit: Indiatimes