The Negotiable Instruments (Amendment) Act 2015
The Above Amendment Act came in to force with retrospective effect. According to the notification published in the official Gazette dated 26.12.2015 the Amendment shall be deemed to have come into force on the 15th day of June, 2015. Rajya Sabha passed the Negotiable Instrument (Amendment) Bill 2015 on 7th December 2015 . Lok Sabha had passed the Bill in August 2015. The Act will replace Negotiable Instrument (Amendment) ordinance which was re-promulgated on 25th September 2015. The amendment makes changes in provisions relating to the territorial jurisdiction for filing Cheque dishonour Cases in the Negotiable Instrument Act.
Effect of Amendment Act of 2015
As per the Amendment the offence under section 138 shall be inquired into and tried only by a court within whose local jurisdiction,—
(a) if the cheque is delivered for collection through an account, the branch of the bank where the payee or holder in due course, as the case may be, maintains the account, is situated; or
(b) if the cheque is presented for payment by the payee or holder in due course, otherwise through an account, the branch of the drawee bank where the drawer maintains the account, is situated.
Background of Amendment Act of 2015
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