Magistrates to Dispose of Cheque Cases up to Tk 500,000

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Magistrates to Dispose of Cheque Cases up to Tk 500,000

B Mirror Report: Judicial jurisdiction over cheque dishonour cases has been revised through the promulgation of the “Negotiable Instruments (Amendment) Ordinance, 2026.” Under the new ordinance, cases involving cheques worth up to Tk 500,000 will be tried by Metropolitan Magistrate or First-Class Magistrate courts.

For cheques exceeding Tk 500,000, trials will be conducted at the level of Metropolitan Joint Sessions Judge or Joint Sessions Judge courts.

The ordinance was issued in gazette form on Sunday. Through this amendment, Clause (C) of Section 141 of the Negotiable Instruments Act, 1881 has been replaced with a new provision. According to the revised law, offences related to cheque dishonour under Section 138 will now be tried in different courts based on the amount stated on the cheque.

The amendment specifies that if the face value of a cheque exceeds Tk 500,000, the case cannot be tried in any court below that of a Metropolitan Joint Sessions Judge or Joint Sessions Judge. In other words, higher-value cheque cases will be directly tried at the Joint Sessions Judge level.

On the other hand, cases involving cheques worth Tk 500,000 or less under Section 138 will be adjudicated by Metropolitan Magistrate or First-Class Magistrate courts.

Officials of the Financial Institutions Division under the Ministry of Finance said the amendment clearly defines judicial tiers based on cheque amounts. They noted that the change will enable quicker resolution of higher-value financial disputes in higher courts, while comparatively smaller cases will be settled at the magistrate level, expediting the judicial process and reducing public suffering.

 

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