The Supreme Court has ruled that cheque bounce complaints under Section 138 NI Act must be filed only in the court where the payee’s bank home branch is located, clarifying jurisdiction after the 2015 amendment and preventing forum shopping.
The Supreme Court slammed the appellate court’s “shocking” move of cancelling bail and issuing an NBW against a woman despite her appeal pending for eight years. Citing serious procedural lapses and her medical condition, the Court ordered her immediate release on interim bail.
The Supreme Court flagged the “staggeringly high” pendency of cheque bounce cases in metro courts and issued fresh guidelines for quicker resolution. The new rules allow voluntary compromises, graded penalties, and probation benefits to ease the strain on the judicial system.
The Supreme Court clarifies that under Section 138 of the NI Act, jurisdiction for cheque bounce cases lies with the payee’s bank branch, not the deposit location.
Gujarat High Court granted ad interim bail to filmmaker Rajkumar Santoshi, sentenced to two years for a cheque dishonor case. His appeal cited prior payments of Rs 6 lakhs against Rs 22.5 lakhs owed, along with willingness to pay the remaining amount. The next hearing is scheduled for February 13, 2025.
Former Madras High Court judge Justice PN Prakash criticized the appointment of public prosecutors, pointing out that their political affiliations undermine the legal system. He also highlighted issues of perjury, civil suits, and language barriers faced by migrant workers in criminal cases. The discussion also covered the impact of civil disputes on criminal cases and the challenges faced by magistrates.
