Bill for quick prosecution in cheque bounce cases passed by Lok Sabha

A Bill aimed at reducing excessive delay in cases of cheque dishonour and facilitating payment of interim compensation to the complainants was passed by the Lok Sabha on Tuesday. The Negotiable Instruments (Amendment) Bill, 2017, essentially seeks to do away with “unnecessary” litigation in cheque dishonour cases. A specific provision will now allow the concerned courts to order the drawer of the cheque to pay interim compensation to the complainant, in a summary trial or a summons case where he or she pleads not guilty to the accusations upon framing of charges.

This interim compensation will not exceed 20 per cent of the amount of the cheque. If the drawer is acquitted, the court may direct the payee to repay the amount paid as interim compensation with interest, the Bill says. Opposing the Bill, A Sampath (CPI-M) dubbed it as unconstitutional and demanded that it should be withdrawn. “It is a Bill for the money launderers,” he said. Participating in the discussion, Congress leader Shashi Tharoor termed it as an important legislation and said there was a need to have a provision for “trial in absentia”.

Terming the Bill as a good endeavour, Kalyan Banerjee (TMC) was of the view that the objective behind the legislation was that the victim should get justice as soon as possible. Making a point over his party’s demand for special status to Andhra Pradesh, TDP MP Ravindra Babu said former PM Manmohan Singh had given them a cheque (assurance to give special status to his state) but “it has bounced”.
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