Supreme Court Suggests On Cheque Bounce Case

To fast-track cheque-bounce cases, SC issues guidelines-Indian Express-26.04.2014

The court said that summons should apprise an accused that he could show up in the court and compound the offence on the same day.

With more than 40 lakh cheque-bounce cases choking the justice delivery system in the country, the Supreme Court has issued slew of guidelines, including issuance of summons through e-mails and completion of evidence within three months, to prevent further piling up.

A bench of Justices K S Radhakrishnan and Vikramjit Sen laid down guidelines to be uniformly followed by all magisterial courts dealing with cheque-bounce cases under pertinent provisions of the Negotiable Instruments Act for a “speedy and expeditious disposal”.

Directing for a day-to-day trial, the court said that a magistrate shall issue summons on the same day he receives a complaint, provided documents are in order. It held that a magistrate need not call a complainant twice for recording his statement, once at pre-summoning stage and another after issuance of summons, and taking an appropriate affidavit from him should suffice.

The summons should be issued immediately by post as well through e-mails. The court said that summons should apprise an accused that he could show up in the court and compound the offence on the same day.

“Once the court issues summons and the presence of the accused is secured, an option be given to the accused whether, at that stage, he would be willing to pay the amount due along with reasonable interest and if the accused is not willing to pay, court may fix up the case at an early date and ensure day-to-day trial,” it said.

At the stage of recording of evidence, the bench said, the court concerned must ensure that examination-in-chief, cross-examination and re-examination of the complainant is conducted within three months of assigning the case. “The court has option of accepting affidavits of the witnesses, instead of examining them in court,” it added.

The order came on a petition by the Indian Banks Association, which is the representative body of banks in India with over 174 banks and financial institutions as its members. Its counsel Lalit Bhasin had asserted the need to have uniform practice across courts in the country to ensure cases do not drag in courts on account of unnecessary and unwarranted procedural delays.

What the court says

* No need for complainant to record his statements in court more than once; affidavit can be filed.
* Summons to be issued to the accused on the same day the magistrate receives the complaint.
* Summons to be issued also through e-mails, besides normal post.
* Accused can offer a settlement the day he shows up in court and the magistrate shall dispose of the case.
* All evidence to be recorded within three months and verdict to be delivered shortly.
* Magistrate can receive affidavits from the witnesses too, dispensing their personal presence.

Link Indian Express