Aggrieved get double the amount in a cheque bounce case u/s 138

Hello sir.. I had received an cheque of rs 5 lakh from one person before 2 year.. as I had deposited in my a/c at that time..the cheque got bounce due to insufficient fund in there a/c. I had completed all the legal procedure send him a legal notice & file a case under section 138.. now he is saying take 4 lakh & take back your case.. if i calculated I had lost 2 years of interest of 5 lakh .I had wasted more than 80 thousands in advocate fees & all.. I had heard that if I win case I will get double of amount that is 10 lakh.. my advocate is saying my winning chances is 90% but it's not sure how much amount you will get.. what should I do??.. please guide me..

Answers (3)

282 votes

you have to file summary suit along with your interest and other things. sec. 138 will support you in getting the actual amount of check which is bounced and the penalty or jail which is appropriate as per the act.

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258 votes

As per the law regarding under NIA [Section : 117] Rules as to compensation -(c) an indorser who, being liable, has paid the amount due on the same is entitled to the amount so paid with interest at
[eighteen per centum] per annum from the date of payment until tender or realisation thereof, together with all expenses caused by the dishonour and payment.
So don't compromise and you have to claim expenses also.

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You may get double of the cheque amount as compensation. When your winning chance is higher then not necessary to compromise at his terms and conditions. Because there is provision of punishment too. So have patience because court cases take time.
Adv Suneeta R Shukla

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