Business Standard

Letters: Bizarre amendment

The amendment will allow the court to order interim compensation to those whose cheques have bounced

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This is with reference to the recent news about the Union Cabinet approving an amendment to law on cheque bounce cases. Though the objective is to curb delay tactics by unscrupulous drawers of dishonoured cheques, relatively easy filing of appeals and obtaining stays on proceedings, the remedy suggested seems to be counterproductive. The amendment will allow the court to order interim compensation to those whose cheques have bounced. However, if the drawer of the cheque is acquitted, the court may direct the payee to repay the amount paid as interim compensation with interest. This is a bizarre amendment. Instead of

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