1. With the help of the Negotiable Instruments (Amendment) Act 2018, new provisions related to interim compensation are added in the Negotiable instruments Act 1881.
2. It adds two new sections to the NIA 1881; Section 143A and Section 148 to limit the issues of dishonor of cheque and to stop the injustice that a cheque bearer faces after the dishonor of the cheque.
3. In the cases of dishonor of cheques the drawer drags the case longer to avoid the payment and before this amendment, the cheque holder was not entitled to any kind of compensation until the Court fully resolved the case. The Negotiable Instruments (Amendment) Act 2018 focuses on this unfair issue faced by the cheque holder.
4. The newly added Section 143A gives power to the trial court to allow interim compensation to the complainant of dishonor of cheques when the accused pleads not guilty.
5. Section 143A specifies that the interim compensation provided shall not exceed twenty percent of the amount of the cheque…
2. It adds two new sections to the NIA 1881; Section 143A and Section 148 to limit the issues of dishonor of cheque and to stop the injustice that a cheque bearer faces after the dishonor of the cheque.
3. In the cases of dishonor of cheques the drawer drags the case longer to avoid the payment and before this amendment, the cheque holder was not entitled to any kind of compensation until the Court fully resolved the case. The Negotiable Instruments (Amendment) Act 2018 focuses on this unfair issue faced by the cheque holder.
4. The newly added Section 143A gives power to the trial court to allow interim compensation to the complainant of dishonor of cheques when the accused pleads not guilty.
5. Section 143A specifies that the interim compensation provided shall not exceed twenty percent of the amount of the cheque…