No plan to withdraw bank cheque book facility, clarifies Centre

November 23, 2017: Putting to the rest the speculation about withdrawal of bank
cheque book, the Union Finance Ministry said that there is no proposal under consideration
to withdraw of bank cheque book facility.
“In a
section of the media, it has appeared that there is a possibility that the
Central Government may withdraw bank cheque book facility in the near future,
with an intent to encourage digital transactions. It is denied that there is
any proposal under consideration of the Government to withdraw bank cheque book
facility,” said an PIB release.
In this
regard, it is emphasized that while the Government is committed to transform
India into a less cash economy and promote digital and electronic transactions
through multi-pronged initiatives, cheques are an integral part of the payments
landscape, and form the backbone of trade and commerce, by being negotiable
instruments, which often serve as the security for underlying trade
transactions, it said.
It further
said in fact, the Union Finance Minister, in the Budget Speech 2017-18, had
announced, “As we move faster on the path of digital transactions and cheque
payments, we need to ensure that the payees of dishonoured cheques are able to
realise the payments. Government is therefore considering the option of
amending the Negotiable Instruments Act suitably.”

Leave a Reply

Your email address will not be published. Required fields are marked *