Gujarat ranks third in country in pending cheque bounce cases

Updated: Dec 22nd, 2024

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More than 4.73 lakh cheque bounce cases are pending in various courts in Gujarat. The state ranks third among states in the country with the highest number of pending cheque bounce cases.

According to data released by the National Judicial Data Grid, Rajasthan has the highest number of pending cheque bounce cases, with 6.41 lakh. Maharashtra ranks second, with 5.89 lakh cases. Gujarat ranks third with 4.73 cases related to cheque bounce. These cases are prosecuted under Section 138 of the Negotiable Instruments Act.

Pending cases of cheque bounce

State Cheque Bounce Pending Cases
Rajasthan6.41 lakh
Maharashtra5.89 lakh
Gujarat4.73 lakh
Delhi4.54 lakh
Uttar Pradesh3.76 lakh
West Bengal2.86 lakh
Haryana2.4 lakh
Madhya Pradesh1.92 lakh
Tamil Nadu1.51 lakh
Punjab1.5 lakh

A pilot study was also conducted in the top five states with the most pending cheque bounce cases. The reasons include insufficient funds in the bank account, the account being closed, errors in writing, mistakes in account numbers, overwriting, the cheque exceeding its validity period, or the absence of a stamp on a company cheque. 

As per the Negotiable Instruments Act, dishonouring a cheque is considered a punishable offense. It carries provisions for up to two years of imprisonment, a fine, or both.

Also read:

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