Legal Question in Banking Law in India

My employee in New Delhi stole a blank cheque that was bearing the accountholder's signatures on the front. He made it a "self or bearer" cheque, filled up the amount, forged accountholder's signatures on the back of the cheque (forged endorsement), signed under a fictitious identity and encashed it over the counter. Do I have any claim against the bank for encashing it under forged endorsement on the back of the cheque ? Is there any Indian court ruling in support of my claim ?


Asked on 8/12/09, 9:23 pm

3 Answers from Attorneys
Pranav Desai PD Legal & Associates

Not against the bank. But against the per son who withdrew the amount you can file a case.

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Answered on 8/13/09, 2:23 am
Sudershan Goel India Law Offices of Sudershan Goel - Advocate

duplicate question. I agree with Mr. Desai though.

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Answered on 8/13/09, 2:20 pm
J. Radhakrishnan independent Practice

The cheque book outer or inner cover mentions that it has to be kept in proper custody. If you keep blank cheques signed and at the same time do not keep it safe with you and some one fills it up and gets paid, you have alone to blame. Bank cannot be held responsible for your employee filling it up with self or bearer and encashing the same.

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Answered on 8/14/09, 9:29 am


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