Money & banking

A cheque bounced — I gave it or I received it

Cheque cases run on strict deadlines. We'll find out which side you are on and which dates matter.

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What the law says

Cheque dishonour is a criminal complaint under Section 138 of the Negotiable Instruments Act. Deadlines run from specific events, so exact dates matter. Since 1 November 2025 (Supreme Court, Sanjabij Tari), summons can be served by email and WhatsApp, the accused can pay online at the start, and settlement costs were reduced: no cost if paid before the accused's evidence, 5% before the trial court's judgment, 7.5% in the High Court and 10% in the Supreme Court.

General information, not legal advice.

Papers that usually help

The original cheque
The court will need to see the original.
Bank return memo (cheque return slip)
Starts the 30-day clock and shows the reason.
Bank statement showing the cheque deposit and its return
Shows the cheque was presented within its validity (generally 3 months from its date).
Send a written demand notice (through an advocate) and keep proof of dispatch
A complaint usually cannot proceed without it.
Copy of the demand notice, postal receipts and delivery tracking
Delivery date starts the 15-day payment window and then the one-month window to file.
Proof of the underlying debt (loan transfer, invoice, agreement, ledger)
The presumption of debt can be challenged; independent proof helps.
Messages where the issuer admits the debt or promises payment
Admissions are strong evidence.
Issuer's full name, address, and account bank branch
Needed for notice and complaint.
Company details and names of directors/partners who sign
Those in charge of the company may also be made accused.
The notice or summons you received, with its envelope
Paying within 15 of receiving the notice usually ends the matter.
Proof of payments already made towards this debt
Reduces or disproves the liability.
Records showing the cheque was given as security, or the deal it related to
Whether a "security" cheque can be the basis of a case depends on whether a debt existed when it was presented.
Papers about the deal behind the cheque (agreement, invoices, loan papers, messages)
Your defence or settlement depends on what was actually owed.
A realistic payment or settlement proposal, with proof of what you can pay
Paying within the notice period, or settling later, can end the case.

Questions Saboot will ask you

Which side are you on?
What reason is written on the bank's return memo?
When did the bank tell you the cheque bounced?
Have you sent a written demand notice to the person who issued it?
How long ago was the notice delivered?
Why was the cheque given?
Roughly how much is the cheque for?
What have you received?

Sources

Common situations

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