The Supreme Court of India urged the Reserve Bank of India (RBI) to develop a new performance of Cheque which includes the purpose of payment so as to avoid misuse of cheques.
In the case of Makwana Mangaldas Tulsidas vs. The State of Gujarat, the Apex Court observed that the mechanism wherein the bank will facilitate all the details of the Account Holder (accused) to the complainant and the police in the matters pertaining to the Cheque Bounce for the purpose of easy execution of the process.
The bank will provide the details of the accused pertaining to the relevant information such as registered mobile number, permanent address, E-Mail ID, on the cheque or dishonoured cheque informing the holder about the dishonour.
The Apex court was also of the opinion that the delay in deciding the cases pertaining to the Cheque Bounce is because of the absence of the accused in the courts.
The SC with a reason to speedy adjudication of matters pertaining to cheque bounce, it registered a suo motu case titled ‘Expeditious trial of cases under Section 138 of Negotiable Instrument (NI) Act, 1881’.
Apart from directing the bank to provide the details of the accused, the apex court also urged the Reserve Bank of India (RBI) must pronounce the detailed guidelines for the purpose of the facilitation of the procurement of information of the accused of the trial of cheque bounce case.
The division bench of the Supreme Court of India comprising of CJI SA Bobde and Justice L. Nageswara Rao held that a strict mechanism needs to be developed so as to ensure the presence of accused in the court, even by the way of taking coercive measures against the accused with the backing of Section 83 of Code of Criminal Procedure which allows attachment of property both movable as well as immovable property.
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