Cheques cases covered under Sec 138 of Negotiable Instruments Act
Cheque bounce is an offence & it is challenged o/s 138 of Negotiable Instruments Act for receiving of amount with penalty & interest. It can be resolved by court verdict or by way of settlement.
Cheques have always been the most convenient and appreciated mode of payment in all kinds of commercial transactions. Businesses would come to a halt in case these cheques would not exist or be recognized as a bonafide method of payment in business transactions.