if A has given a cheque to B of Rs 10000. B is not present the cheque for next 6 months in bank. In between this 6 months bank become insolvent.
In this case A is liable to pay Rs 10,000 to B or no??????????
Please reply soon
Thanks in advance
2 Replies
GAURAV BEHL
(CA-FINAL )
(228 Points)
Replied 13 November 2009
liability of a drawer of the cheeque arises when the payee of the cheque acts within reasonable time.in this case A is not liable to pay rs 10000 to b because he didnot act within reasonable time.
Deepak goyal
(Apprentice)
(42 Points)
Replied 13 November 2009
sir I asked Question wat happen if Bank insolvent with in the Due Date of month of Cheque i.e the cheque date is 1 july 2008 and bank insolvent on 20 dec 2008 than A or bank ? who is liable to pay money to B
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