CHEQUE DISHONOUR LEGAL NOTICE
Demand under clause (b) of the proviso to section 138 of the Negotiable Instruments Act, 1881 (the Act)
Date: 5 April 2026
Place: Ludhiana
This notice is sent by registered post with acknowledgement due. A copy is also sent by email to accounts@bhullaragro.example.com.
To: Bhullar Agro Implements Private Limited, Plot 38, Focal Point, Phase V, Ludhiana 141010, and, the drawer being a company, to each of the following persons, who were in charge of, or responsible for, its affairs when the cheque was issued, in the role stated against the name: Gurpreet Singh Bhullar, managing director, House No. 55, Sarabha Nagar, Ludhiana 141001; and Navneet Kaur Bhullar, director in charge of accounts and payments, of the same address
From: Harjinder Singh Gill, House No. 214, Model Town Extension, Ludhiana 141002 (email harjinder.gill@example.com, telephone +91 98150 42117), called the Payee in this notice, sent through Amandeep Kaur Sidhu, Advocate, Chamber No. 118, Lawyers' Chambers, District Courts, Ludhiana 141001, on the Payee's instructions
Subject: Cheque No. 004517 dated 1 April 2026 for ₹11,80,000 (Rupees Eleven Lakh Eighty Thousand only), returned unpaid, and demand for its amount
- The debt. The Payee supplied you 40 tonnes of hot-rolled steel sheets against your purchase order No. BAI/PO/2026/118 dated 14 May 2026, under tax invoice No. HSG/26-27/041 dated 20 May 2026, and you took delivery on 22 May 2026. On the day the cheque was given, ₹11,80,000 (Rupees Eleven Lakh Eighty Thousand only) was due from you to the Payee on that account, a debt enforceable at law. The cheque was given to discharge that debt in full.
- The cheque. You drew cheque No. 004517 dated 1 April 2026 for ₹11,80,000 (Rupees Eleven Lakh Eighty Thousand only) on Punjab National Bank, Focal Point branch, Ludhiana, from current account No. 0401002100045171 held by you, payable to the Payee, and handed it over at the Payee's office in Ludhiana on 20 June 2026, against the invoice. You signed the cheque yourself, on an account you hold. The person who signed it was Gurpreet Singh Bhullar, managing director.
- Presentation. The Payee presented the cheque for payment on 2 April 2026 through the Payee's savings account No. 30112233445 with State Bank of India, Model Town branch, Ludhiana. That was within three months of the date the cheque bears, and so within its period of validity.
- The return. The bank on which the cheque is drawn returned it unpaid under a return memo dated 3 April 2026. The reason the memo gives is "funds insufficient". A return for that reason is a dishonour within section 138 of the Act. Want of funds and excess over the arrangement with the bank are named in the section itself, and the Supreme Court has held that returns marked account closed, payment stopped, refer to drawer, signatures do not match or image not found are dishonour within it (Laxmi Dyechem, (2012) 13 SCC 375, para 15).