When a drawer draws a cheque without keeping sufficient balance and if the cheque is dishonored for insufficient funds, the drawer is punishable with and imprisonment which may extend to -------- and or a fine.
A)2 months
B)4 months
C)1 year
D)2 year

Question

Quizplus · Accepted Answer

The drawer can be punished with imprisonment which may extend to 1 year and/or a fine when a cheque is dishonored due to insufficient funds. This is in accordance with the provisions related to cheque bounce under the Negotiable Instruments Act.

When a Drawer Draws a Cheque Without Keeping Sufficient Balance