Cheque bouncing may lead to imprisonment
The government plans to amend the present law of punishment, making it a non-bailable offence for defaulters.
The Ministry of Law and Justice is planning to present the amendment bill-aimed to cut down the pendency of nearly 20 lakh cheque bounce cases in India-in the Monsoon Session of Parliament.
A time period would be given to both parties to settle the cases out of court, failing which the defaulter would be sent to jail, and strict conditions would be imposed while giving bail.
The Metropolitan Magistrate would first examine the complaint filed under Section 138 of the NI Act alongwith the affidavit and supported documents, and it is only after its scrutiny, the court will take cognizance and direct issuance of summons. Though the government and courts are disposing the cases via holding special lok adalats at national and district levels, the pendency is still on a higher side.