Kathmandu. In cases related to dishonour of old cheques (cheque bounce), the 5-year limit will be maintained. This explanation has been given in the full text of the Supreme Court’s judgment on the writ petition filed regarding the limitation of the cheque bounce case. 

According to the explanation given in the full text of the judgment, the five-year limitation period will apply in case of cheques bounced before 10th June, 2083. 

The Exchange Instruments Act, 2034 had a provision to file a case within 5 years from the date of cheque bounce.However, the government through ‘Banking Offences and Punishment (Second Amendment) Act, 2082′ removed the cheque bounce from the Exchange Authorization Act and included in the Banking Offences and Punishment Act. 

The Amendment Act has set a limit of one year for the offence of cheque bounce. That is, the case can be filed within one year of the cheque bounce.

A writ petition was filed at the Supreme Court claiming that the victims of the b ounce of cheques that have crossed one year but have not completed 5 years may be deprived of judicial remedy.Hearing the same writ , the Supreme Court has interpreted the limit of 5 years in cases related to old cheque bounce. Here is the Full text of the judgment: