Question

Cheque bouncing cases charged under Section 138 of the Negotiable Instruments Act are tried by:

• A. Bank Tribunal
• B. Consumer Forum
• C. Magistrate Court
• D. Sessions Court

Hint:

Remember: Section 138 (dishonour of cheque) is a criminal offence. As per Section 142, such cases are triable only by a Judicial Magistrate of First Class (JMFC) or a Metropolitan Magistrate.

Answer 1

The Correct Option is C

Step 1: Understanding the Concept.
Section 138 of the Negotiable Instruments Act, 1881, deals with the offence of cheque dishonour due to insufficient funds or the drawer's inability to make payment. It classifies cheque bouncing as a criminal offence. The question asks which judicial body has jurisdiction to try such cases.

Step 2: Detailed Explanation.
According to Section 142 of the Negotiable Instruments Act, 1881, the trial of offences under Section 138 shall be conducted by: "No court inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the First Class shall try any offence punishable under Section 138."
Therefore: - (A) Bank Tribunal: The Debt Recovery Tribunal (DRT) handles recovery of bank debts — civil in nature, not criminal trials.
- (B) Consumer Forum: Deals with consumer complaints under the Consumer Protection Act — not applicable to cheque dishonour offences.
- (C) Magistrate Court: Correct — specifically, the Judicial Magistrate of First Class (JMFC) or Metropolitan Magistrate has jurisdiction.
- (D) Sessions Court: Handles more serious criminal offences and appeals; cheque bounce cases begin at the Magistrate level.
Hence, the trial of cheque dishonour cases under Section 138 falls within the jurisdiction of the Magistrate Court.
Step 3: Final Answer.
Cheque bouncing cases under Section 138 of the Negotiable Instruments Act, 1881, are tried by the Magistrate Court (Judicial Magistrate of First Class or Metropolitan Magistrate).