Section 142 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 142 sets three things for a cheque-bounce complaint: who may complain and how, the time within which the complaint is made, and which court may try the offence. As per the consolidated text consulted, sub-section (1) deals with cognizance and the period; sub-section (2) deals with local jurisdiction. This article is about the procedure around Section 138, not the offence itself.
No court takes cognizance of a Section 138 offence except on a written complaint by the payee or holder in due course (s.142(1)(a)). The complaint must be made within one month of the date the cause of action arises under clause (c) of the proviso to Section 138, but the Court may take cognizance later if the complainant shows sufficient cause for the delay. Only a Metropolitan Magistrate or Judicial Magistrate of the first class may try the offence. Under sub-section (2), the court is the one where the payee's collecting branch is situated (cheque delivered for collection through an account), or where the drawer's branch of the drawee bank is situated (cheque presented otherwise than through an account).
How Section 142 fits with Section 138
The offence, the notice and the periods in the proviso are in Section 138. Section 142 starts after those steps. The cause of action that triggers the one-month period is defined by reference to "clause (c) of the proviso to section 138", which is the drawer's failure to pay within fifteen days of receipt of the notice, as printed. For the full chain of deadlines, see our guide on time limits under Section 138.
Section 142(1) begins "Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974)". The text refers to that Code; the reader should check the current procedural law for the corresponding provisions before relying on any procedural point in this article.
If you are the payee preparing to file, a recovery notice process often runs alongside the criminal route, and the demand notice has its own timetable. A note on spelling: the Act writes "indorse"; "endorse" is the common spelling.
Section 142(1): cognizance and the one-month period
Sub-section (1) has three clauses and a proviso.
(a) Written complaint by the payee or holder in due course. "No court shall take cognizance of any offence punishable under section 138 except upon a complaint, in writing, made by the payee or, as the case may be, the holder in due course of the cheque." So the complaint must be (i) in writing and (ii) made by the payee or holder in due course.
(b) One month. "Such complaint is made within one month of the date on which the cause of action arises under clause (c) of the proviso to section 138." The period is one month, counted from the cause of action under that clause.
The proviso on delay. "Provided that the cognizance of a complaint may be taken by the Court after the prescribed period, if the complainant satisfies the Court that he had sufficient cause for not making a complaint within such period." The proviso allows a late complaint where "sufficient cause" is shown to the Court. The text gives no examples of sufficient cause and no outer limit on delay.
(c) Which courts try the offence. "No court inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the first class shall try any offence punishable under section 138." The trial court must be at least of that rank. How the trial proceeds is dealt with in Section 143.
Section 142(2): which court has local jurisdiction
"The offence under section 138 shall be inquired into and tried only by a court within whose local jurisdiction," one of two things holds.
| Case | Court within whose local jurisdiction is situated |
|---|---|
| (a) The cheque is delivered for collection through an account | The branch of the bank where the payee or holder in due course maintains the account |
| (b) The cheque is presented for payment by the payee or holder in due course otherwise through an account | The branch of the drawee bank where the drawer maintains the account |
The word "only" shows these are the only places. The two cases are alternatives depending on how the cheque was presented.
The Explanation
"For the purposes of clause (a), where a cheque is delivered for collection at any branch of the bank of the payee or holder in due course, then, the cheque shall be deemed to have been delivered to the branch of the bank in which the payee or holder in due course, as the case may be, maintains the account."
So even if the payee hands the cheque in at a different branch of his own bank, it is deemed delivered to the branch where he maintains the account, and that branch's location governs under clause (a).
Putting it together: a worked example
Example. Chandni Fabrics, with its account at the Karol Bagh branch of Dev Bank, deposits a cheque drawn by Eshan Garments on its account at a branch of Fateh Bank in Surat. The cheque is delivered for collection through Chandni Fabrics' account. If the cheque is returned and the Section 138 conditions are met, clause (a) of Section 142(2) points to the court within whose local jurisdiction the Karol Bagh branch is situated, where the payee maintains the account. If Chandni Fabrics had deposited the cheque at another branch of Dev Bank, the Explanation would still deem it delivered to the Karol Bagh branch. Suppose instead the payee had presented the cheque directly to Fateh Bank's Surat branch, not through an account: clause (b) would point to the court within whose local jurisdiction the Surat branch, where Eshan Garments maintains the account, is situated. In either case, Chandni Fabrics must complain in writing within one month of the date the cause of action arose under clause (c) of the proviso to Section 138, unless it satisfies the Court of sufficient cause.
Points to watch
- Written complaint. The text requires writing and names who may make it.
- One month, counted from the cause of action. Not from the date of the cheque or the notice. Check the date of the notice and the fifteen-day period first.
- Delay. The proviso needs "sufficient cause" shown to the Court's satisfaction.
- Choice of court. The text uses "only", so local jurisdiction is fixed by sub-section (2).
- Later complaints against the same drawer. Where the first complaint is pending, Section 142A deals with where subsequent complaints are filed.
- Procedure. The text refers to the Code of Criminal Procedure, 1973; check the current procedural law. The text gives no court fee, no format of complaint and no filing steps. For the practical steps, see our general guide on how to file a Section 138 complaint.
Need help before the complaint is filed?
The sequence of presentment, notice and the fifteen-day period decides when the one month starts. If you want the dates reviewed with the cheque, the return memo and the notice in front of you, our recovery notice team can go through them with you.
Key takeaways
- A court takes cognizance of a Section 138 offence only on a written complaint by the payee or holder in due course.
- The complaint is made within one month of the cause of action arising under clause (c) of the proviso to Section 138, subject to a proviso allowing delay for sufficient cause.
- Only a Metropolitan Magistrate or Judicial Magistrate of the first class may try the offence.
- Jurisdiction lies with the court where the payee's branch is situated (cheque delivered for collection through an account) or where the drawer's branch of the drawee bank is situated (otherwise).
- The text refers to the Code of Criminal Procedure, 1973; check current procedural law.
Read next
- Section 138: cheque bounce (dishonour of cheque)
- Section 142A: transfer of pending cheque bounce cases
- Section 143: summary trial of cheque bounce cases
- Time limits under Section 138: critical deadlines
Disclaimer: Based on a consolidated text of the Negotiable Instruments Act, 1881 stating the position as of 26 December 2015 and on the Negotiable Instruments (Amendment) Act, 2018, as consulted on 2 October 2026. Later amendments and current criminal procedure law should be checked. This article is general information, not legal advice; check the official text before acting.