Clarification regarding cheque bounce

Sir, if a cheque is returned with a memo 'Present in proper zone', can a case be filed under section 138.

Answers (2)

117 votes

It looks as if you have presented the cheque in a wrong zonal jurisdiction. In this case you are required to contact the branch office of concerned bank and clarify the reason behind it and present this cheque again.

Presently you cann't file a case u/s 138.

Adv malhotra

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225 votes

No sir. A case under 138 is filed only when the cheque bounces. By this i mean that the cheque is returned unpaid due to less balance or account is closed. Present in proper zone means that the cheque can only be presented in certain branch or zone of branches and is not payable at any branch. Kindly try to present the cheque in the zone and if you have done so or it cannot be done by you then either ask the payer to give another cheque with no auch limitation or file a case of recovery after sending a notice to him

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