SECURITY CHEQUE HANDOVER LETTER
Date: 1 April 2026
Place: Chandigarh
To
Rajinder Kumar Sethi
House No. 1451, Sector 33-D, Chandigarh 160020
From
Vikram Sethi
House No. 214, Phase 4, S.A.S. Nagar (Mohali) 160059
PAN: AFRPB2212K
Subject: Cheques handed over as security
Dear Rajinder Kumar Sethi,
- 1. THE CHEQUES
1.1 I am handing over to you 2 cheque(s) drawn on HDFC Bank, Phase 7, S.A.S. Nagar (Mohali), account ending 4521, from my own account, as follows: Cheque no. 000451 dated 5 April 2026 for Rs 1,00,000; cheque no. 000452 dated 5 May 2026 for Rs 1,00,000. The total of the cheques is ₹2,00,000 (Rupees Two Lakh only).
1.2 The cheques are handed over fully written out, with the date and the amount filled in by the Giver.
- 2. WHAT THEY SECURE
2.1 The cheques are given as security only, and not as payment, for: Loan of Rs 1,50,000 under the Loan Agreement dated 4 March 2026 between the same persons. The amount lent is ₹1,50,000 (Rupees One Lakh Fifty Thousand only).
2.2 Handing over the cheques does not discharge any part of the loan, and does not give you any right to the money in my account. The loan is discharged only when the money is actually repaid.
- 3. WHEN YOU MAY PRESENT THEM
3.1 You will not present any of these cheques to the bank unless I have failed to pay an amount due under the loan, you have given me written notice of that failure, and 15 days have passed after the notice without my paying.
3.2 You will present a cheque only for an amount actually due and unpaid under the loan at that time, and never for more than that.
3.3 If I repay the loan in full, or the amount due is paid by other means, you will not present any cheque.
- 4. RETURN OF THE CHEQUES
4.1 When the loan is repaid in full, you will return all the cheques that have not been presented, within 7 days, and give me a written note that nothing further is due.
4.2 If you lose any cheque, you will tell me at once in writing, so that I can instruct my bank to stop payment on it.
- 5. MY CONFIRMATION
5.1 I confirm that the cheques are drawn on my own account, that I signed them myself, and that I understand the law on the dishonour of cheques may apply if a cheque is presented as allowed above and is not honoured.
Yours faithfully,
SIGNED by the GIVER
Vikram Sethi
Signature: ______________________________
ACKNOWLEDGEMENT BY THE LENDER
I, Rajinder Kumar Sethi, confirm that I have received the cheques described above on 1 April 2026, that I hold them only as security, and that I will use and return them only on the conditions in this letter.
Signature: ______________________________
Rajinder Kumar Sethi
WITNESSES
- 1. Karamjit Singh
House No. 3301, Sector 46-C, Chandigarh 160047
Signature: ______________________________
- 2. Deepak Mehra
House No. 88, Phase 3B2, S.A.S. Nagar (Mohali) 160059
Signature: ______________________________