Legal Question in Banking Law in India

Re: cheque return

If person other than authorised signatory signs the cheque it is returned with remaks not drawn as per mandate.

Re: cheque return

"Not drawn as per mandate" means a written authority enabling someone to carry out transactions on other's bank account.

What is the circumstance created?

Please furnish more facts.

In this case you can issue the party a legal notice u/s. 138 of the NI Act.

Re: cheque return

It amount to dishonouring of cheque.

Re: cheque return

when any company or firm acount is opened the operating instructions are specific and as such the same if not follwoed like different signatory signs or no seal is affixed or not required persons have signed etc. is called as not drawn as per mandate

Re: cheque return

If the cheque is not signed by a person who has been authorized to sign the same, then it is treated as 'not drawn as per mandate". Normally, if an agent has been authorized to sign on behalf of the account holder and if it is not signed as "for so and so", it is treated as not drawn as per mandate.It could also some times mean that the signature appearing on the cheque does not tally with the specimen signature available with the bank.