Reserve Bank of India has changed validity of Cheque/Drafts/Pay orders/Bankers Cheque from 6 months to 3 months vide their notification no RBI/2011-12/251 DBOD AML BC.No.47/14.01.001/2011-12 dated 4th November 2011. Still it is notification to implement to those instructions those have been issued on or after w.e.f. 01-April-2012. It means validity of instrument of three months will be effected w.e.f. 01.04.2012. Detailed notification is given as under : -
RBI/2011-12/251
DBOD.AML BC.No.47/14.01.001/2011-12 November 4, 2011
The Chairmen/Chief Executive Officers
All Scheduled Commercial Banks (excluding RRBs)/Local Area Banks
Dear Sir,
Payment of Cheques/Drafts/Pay Orders/Banker’s Cheques
In India, it has been the usual practice among bankers to make payment of only such cheques and drafts as are presented for payment within a period of six months from the date of the instrument.
2. It has been brought to the notice of Reserve Bank by Government of India that some persons are taking undue advantage of the said practice of banks of making payment of cheques/drafts/pay orders/banker’s cheques presented within a period of six months from the date of the instrument as these instruments are being circulated in the market like cash for six months. Reserve Bank is satisfied that in public interest and in the interest of banking policy it is necessary to reduce the period within which cheques/drafts/pay orders/banker’s cheques are presented for payment from six months to three months from the date of such instrument. Accordingly, in exercise of the powers conferred by Section 35A of the Banking Regulation Act, 1949, Reserve Bank hereby directs that with effect from April 1, 2012, banks should not make payment of cheques/drafts/pay orders/banker’s cheques bearing that date or any subsequent date, if they are presented beyond the period of three months from the date of such instrument.
3. Banks should ensure strict compliance of these directions and notify the holders of such instruments of the change in practice by printing or stamping on the cheque leaves, drafts, pay orders and banker’s cheques issued on or after April 1, 2012, by issuing suitable instruction for presentment within the period of three months from the date of the instrument.
Yours faithfully,
(Deepak Singhal)
Chief General Manager in-Charge
(Deepak Singhal)
Chief General Manager in-Charge
No comments:
Post a Comment