A dishonoured cheque can instantly turn a trusted transaction into a legal dispute. In India, Section 138 of the Negotiable Instruments Act, 1881 (“NI Act”) makes cheque-bounce a criminal offence punishable with imprisonment up to two years or a fine up to twice the cheque amount. Yet, most complainants lose valuable time because they are unaware of the exact filing process and limitation periods.

This guide explains, step-by-step, how to file a cheque-bounce case in Delhi, from issuing the legal notice to submitting the complaint before the Magistrate. It draws from judicial practice across Delhi district courts (Tis Hazari, Patiala House, Saket, Rohini, Karkardooma, Dwarka, and Rouse Avenue) and Delhi High Court rulings.

Timeline and Limitation Periods under Section 142 NI Act

The NI Act prescribes a strict sequence of steps and deadlines. Missing even one can make the complaint time-barred.

  1. Dishonour of Cheque: The cause starts when the bank returns the cheque unpaid, accompanied by a return memo stating the reason (“Funds Insufficient”, “Stop Payment”, etc.).
  2. Demand Notice (within 30 days): Under Section 138(b), the payee must issue a written demand notice within 30 days of receiving the return memo.
  3. Waiting Period (15 days): The drawer gets 15 days from receipt of the notice to make payment.
  4. Cause of Action (post-15 days): If payment is not made within those 15 days, the offence is deemed to have occurred.
  5. Filing the Complaint (within 1 month): As per Section 142(b), the complainant must file the complaint within one month from the date the cause of action arises.

For example, if your cheque bounced on 1 June, you send a notice by 30 June, the accused receives it on 5 July, and fails to pay by 20 July, then the complaint must be filed on or before 20 August. 

Delhi courts may condone delay only if “sufficient cause” is shown through an application.

Drafting and Sending the Demand Notice

The demand notice is the foundation of your case. It establishes your legal compliance and provides proof that the drawer was given a fair chance to pay.

Essential Elements of the Notice

As per standard formats, the notice must:

  • Specify the cheque number, date, amount, and the bank on which it was drawn;
  • State the reason for dishonour as per the return memo;
  • Demand payment of the cheque amount within 15 days of receipt;
  • Mention that failure will result in prosecution under Section 138 NI Act.

Mode of Sending

Always send the notice through Registered Post A/D or Speed Post and preferably via email as additional proof. Retain copies of:

  • The notice itself,
  • Postal or courier receipts, and
  • Delivery tracking reports or acknowledgements.

Preparing the Cheque-Bounce Complaint

Once the drawer fails to pay within 15 days of the notice, you can file a criminal complaint before the Metropolitan Magistrate.

Mandatory Contents (Core Averments)

The complaint must include:

  • Name and address of the complainant and accused;
  • The nature of the liability (loan, invoice, rent, service fee, etc.);
  • Details of the cheque—number, date, amount, bank branch;
  • Date of dishonour and accompanying bank memo;
  • Issuance and service of demand notice; and
  • Statement that the accused failed to pay within 15 days.

Documents to Attach

Courts in Delhi require the following as part of the case file (centurylawfirm.in and district-court filing checklists):

  1. Original cheque (to be presented at the first hearing);
  2. Bank return memo;
  3. Copy of legal notice;
  4. Postal/courier receipts and delivery proof; 
  5. Supporting contracts or invoices showing liability;
  6. Authority letter or board resolution if the complainant is a company;
  7. Affidavit of evidence verifying the contents.

Each document should be chronologically numbered and annexed to the complaint for easy verification by the magistrate.

Choosing the Right Court and Filing in Delhi

Jurisdiction is governed by the amended Section 142(2) of the NI Act, which states that the complaint shall be filed where the bank branch of the payee is located—that is, where the cheque was presented for collection.

Delhi Courts Handling NI Act Cases

Cheque-bounce cases in Delhi are filed before the Metropolitan Magistrate (NI Act) benches at:

  • Tis Hazari Courts (Central District)
  • Patiala House Courts (New Delhi District)
  • Saket Courts (South District)
  • Rohini Courts (North-West District)
  • Dwarka Courts (South-West District)
  • Karkardooma Courts (East District)
  • Rouse Avenue Courts (Special Commercial Division)

Each court has an NI Act Cell or filing counter for verification of documents. Complaints are typically filed physically with two sets of papers, though e-filing portals are operational in several districts.

Cost, Duration & Practical Tips

Court Fee and Legal Costs

  • Court fee: Nominal—usually ₹10 to ₹25 per complaint.
  • Advocate’s fee: Depends on complexity; in Delhi, it typically ranges from ₹10,000 – ₹50,000, with additional appearance charges.
  • Process fee: Small amount for service of summons through the court.

Average Duration

Despite statutory directions for summary trials, cases may take 12–24 months in Delhi due to adjournments, summons delays, or cross-examination. Many cases are resolved earlier through settlement or compounding under Section 147 NI Act.

FAQs

  1. Can multiple cheque-bounce cases against the same person be combined in one complaint?

    Under Delhi practice, each dishonoured cheque constitutes a separate offence under Section 138 NI Act. However, if several cheques arise from one transaction or agreement, the complainant may file a consolidated complaint or request the court to club trials for efficiency.
    Delhi courts follow the principle laid down in Aneeta Hada v. Godfather Travels & Tours Ltd. and later High Court guidelines permitting joint trial where parties and evidence overlap. The Magistrate has discretion to allow such consolidation to avoid inconsistent findings while still recording distinct convictions for each cheque.

  2. What happens if the accused resides outside Delhi but the cheque was presented here?

    After the 2015 amendment to Section 142(2) NI Act, jurisdiction lies where the payee’s bank is located, i.e., where the cheque was deposited for collection. Therefore, even if the drawer lives in another state, the complaint can validly be filed in Delhi if the payee’s account is in a Delhi branch.

    Delhi Magistrate Courts regularly issue bailable warrants and summons nationwide, routed through the local police or District Legal Services Authority of the accused’s area. This change eliminated the earlier confusion that forced complainants to pursue cases in distant jurisdictions.

  3. Is it possible to settle or compound a cheque-bounce case after the summons has been issued?

    Yes. Section 147 of the NI Act expressly allows compounding at any stage—before or after the summons, during trial, or even in appeal. Delhi courts encourage early settlement through Mediation Centres attached to Saket, Dwarka, and Tis Hazari Courts.
    Following the Supreme Court’s ruling in Damodar S. Prabhu v. Sayed Babalal H. (2010), graded cost concessions apply: the earlier the settlement, the lower the compounding fee payable to the court. Once the compromise deed is verified, the Magistrate records the terms and closes the proceedings, treating the offence as compounded.

Conclusion

Filing a cheque-bounce complaint in Delhi is not merely about drafting a notice—it’s about timing, documentation, and jurisdiction. The 30 + 15 + 30-day rule under Sections 138 and 142 must be followed with precision. A well-structured complaint supported by original documents can lead to a summons within weeks, while procedural lapses can derail an otherwise valid claim.

Whether you are an individual, business owner, or professional, understanding this process ensures your financial rights are enforced without delay. Always seek guidance from a qualified cheque-bounce lawyer in Delhi to navigate filing, evidence, and settlement strategically.