Question: How Can I Settle A Cheque Bounce Case In UAE?

What happens if a Cheque bounces in UAE?

Article 401 of the UAE Federal Penal Code states that detention or a fine shall be imposed upon anyone who, in bad faith, gives a draft (cheque) without a sufficient and drawable balance or who, after giving a cheque, withdraws all or part of the balance, making the balance insufficient for settlement of the cheque, or ….

What is the penalty for Cheque bounce in Dubai?

It depends on the amount of the cheque and the type of transaction, however, according to our experience, most of the applicable judgments for bounced cheques these days shall be only fine of AED 3,000 or AED 5,000 for cheques that less than 70,000 and for cheques more 70,000 it might be jail for one month to three …

What is the penalty for a bounced check?

The jail term can be between 1-3 months – up to 3 years, or/and a fine that usually varies from AED 1,000 to AED 30,000 based on the amount of the bounced cheque. One must understand that a criminal case is purely a punishment for a criminal act, i.e., issuing a cheque without sufficient balance.

Can you go to jail for not paying your credit cards in UAE?

“As per the penal code of the UAE No. 401, in the case of default of payments, banks can deposit the security cheque for collection of the payment. If the cheque bounces, the bank can proceed with criminal charges against the defaulter which can land the defaulter in jail,” said Barney Almazar, a legal advisor.

What is the time limit for Cheque bounce case?

30 daysThe cheque should be returned due to insufficient funds. The notice should be given within 30 days of cheque bounce. The drawer has failed to make the payments within 15 days of Cheque bounce notice, legal action can be taken against him within 30 days.

How many times a Cheque can be bounced?

If a cheque is Dishonored/Bounced: Bearer of the cheque can resubmit the cheque within six months of the date on it if he believes it will be honored the second time. However, if the drawer fails to make a payment, then the beneficiary has the right to prosecute the former.

How long does it take to get the court Judgement on a Cheque bounce case in India?

On receiving demand notice, the drawer has to make payment within 15 days. The cheque bounce notice is sent by the registered post as to create the proof of the notice sent. In case of payment is not received within 15 days then payee can file a complaint before a magistrate within 30 days.

Can you go to jail for check bouncing?

Under criminal penalties, you can be prosecuted and even arrested for writing a bad check. A bounced check typically becomes a criminal matter when the person who wrote it did so intending to commit fraud, such as writing several bad checks in a short time frame knowing there is no money to cover them.

Can you go to jail for not paying rent Dubai?

Cheques and payments must be in the name of the landlord. Any party which does not comply to the regulations set by the Dubai Land Department will be subjected a fine not exceeding 500,000 AED, and possibly a jail sentence.

How long is a Cheque valid for in UAE?

6 monthsIn UAE, a cheque is valid for 6 months from the date of issuance. Banks reject the cheques issued after the validity. If a bank rejects a cheque that has expired, the drawer can request the issuer for a new cheque.

Can a warrant be issued for a bad check?

If you are charged with the offense of “issuance of a bad check,” a warrant will be issued for your arrest. … If a warrant has been issued, you must act immediately to avoid arrest. However, you remain subject to arrest at any time.

Can you write a check to yourself with no money?

In other words, “writing myself a check” idea is only illegal if you knowingly write it without having any available balance on your account.

How can I get travel ban in UAE?

The UAE travel ban may be imposed on a person on various grounds, for instance, as the result of criminal offences, unpaid loans, breach of immigration laws or family matters….4) Family matters (personal affairs).Criminal offences. … Unpaid debts. … Breach of immigration laws. … Family matters (personal affairs)

How do I file a Cheque bounce case in UAE?

There are two methods in which a person can file a police complaint for a bounced cheque in Dubai. The first method involves directly visiting a police station and the second method includes filing the police complaint online.

How do I get out of a Cheque bounce case?

File a counter case: If the person files a false cheque bounce case against you in the court, you can file a reply to the case through a lawyer for cheque bounce case near you. You can also file a counter file of cheque against the person for filing a false cheque bounce case against you.

What if someone writes me a bad check and I cash it?

If someone writes you a bad check and you deposit the check at the bank, or cash it at your bank you will be penalized. They will charge you a fee for the bounced check and it may take a couple days for it to reflect. … They will charge you a fee for the bounced check and it may take a couple days for it to reflect.

How can I check my travel ban in UAE?

Dubai Police has an online free-of-charge service, that enables residents in the UAE to check if they have a travel ban due to financial cases in the emirate of Dubai only. To use the service you need to enter your Emirates ID card number.

What happens if a Cheque does not clear?

If the cheque is not in order, or if there are not enough cleared funds in the account when the cheque arrived at the issuing bank, the cheque would be returned as a dishonoured cheque marked appropriately, such as “non-sufficient funds” or “present again”.