Thread by @barandbench

Supreme Court hears its suo motu case on expeditious trial of cheque bounce cases under Section 138 of Negotiable Instruments Act

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Senior Adv Siddharth Luthra, Amicus Curiae states most of the High Courts have not responded

CJI: Give us the names of the High Courts

Luthra: As many as 11 high courts have not responded. This is a very important aspect.

Luthra: The states who have not responded since March, 2020. Interim orders can be passed and it can be seen whether they respond in two or three weeks.

Luthra: NALSA has submitted a report on pre-litigation mediation. But its not possible unless cognizance is taken of the case. Our submission is that it has to be done post cognizance and not pre cognizance as NALSA suggests.

CJI: how can it be pre litigation if its post

CJI: This Court took suo motu cognizance of the matter in March, 2020. There was an order of take steps to reduce high pendency of cases relating to dishonored cheques. Amicus Curiaes have made submissions and NALSA has submitted a report.

CJI: RBI has filed a reply to the preliminary report. By October 27 2020 DGP of states was directed to respond with respect to service of summons. Only 7 DGPs have submitted response. Some HCs have not filed response

CJI: in this circumstances having regard to the importance of the matter for the administration of justice of various States, we are of the view that High Courts through their registrar general and states/UT through their DGP shall submit a response within 4 weeks

CJI: in case the HCs and states do not submit response, the registrat general of the High Courts and DGP of states who did not respond shall remain present in this court with necessary authorization from their govt to take steps in the matter.

CJI: respondents would be entitled to obtain a copy of the report from the court in case they haven't recieved one.

CJI: it has been brought to our notice that some HCs have replied by letter. They are directed to file appropriate affidavit. As far as NALSA is concerned it appears that one of the suggestions they have given is of pre litigation mediation.

CJI: Negotiable Instruments Act does not lay down steps to be taken for dishonored cheques. Therefore it would not be advisable to consider for pre litigation mediation. However it may be possible to have it post cognizance is taken by criminal court.

CJI: NALSA may modify its suggestions and make recommendations accordingly.

CJI: Matter to be listed after four weeks.

[Expeditious disposal of Cheque Bouncing cases] 11 High Courts have not responded to Amicus Curiae report: Supreme Court

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