Legal Question in Banking Law in India

Dear Sir,

I am paying Credit Card Settlement amount through ECS (Electronic Clearning System), but due to recession and bad market condition I was not able to pay ECS.

Can a bank file 138 case against an ECS return? As per my knowledge bank can file 138 case against check return, but can they file against ECS return also?

Thanks in advanced.


Asked on 8/09/09, 9:34 am

5 Answers from Attorneys
Sudershan Goel India Law Offices of Sudershan Goel - Advocate

Yes, the bank may initiate action against ECS return also. You may consider an amicable out of court settlement and avoid litigation.

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Answered on 8/09/09, 9:36 am
KAMAL GROVER

Bank will not go under section 138 but bank has its own Act by which bank can even sale your property and recover the money itself.

Your further clarification is welcome at nominal fee at;

[email protected]

Advocate

PB. & HRY. HIGH COURT CHANDIGARH (INDIA)

With Regards

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Answered on 8/09/09, 9:51 am
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

the bank may file a complaint u/s 138 but you do not have to panic and offer them the settlement as per terms convenient to you when the court asks you to settle the matter or when the matter is mediated upon. for the time being, you may relax.

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Answered on 8/09/09, 12:16 pm
Pranav Desai PD Legal & Associates

Yes bank can file case under section 138

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Answered on 8/09/09, 1:17 pm
J. Radhakrishnan independent Practice

For ECS return Sec.138 N.I.Act is not applicable. It applies only to return of cheques.

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Answered on 8/09/09, 1:57 pm


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