In this application before the DRT-II, Delhi, the court addressed the appellant's challenge against excessive cheque bouncing charges levied by the respondent Financial Institution. The Cognate account had become standard.
The charging of Rs. 3,000 and Rs. 1,800 per bounce is struck down; the respondent FI is directed to levy only Rs. 500 per bounce.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
Debts RecovetYTribunal-Il,Delhi
sAl274l2024 WASIMAKRAMVS BAIAI HOUSING FINANCE LTD
28.07.2026
Item no'32
Present:Shri Shailendra Ojha, counsel.for applicant'- Shri KartikPastogi, counsel for respondent FI.
MatteristakenthroughVideoConferencing/HybridMode'
look intothe issue as to whetherthe bouncingcharges levied by therespondent FI were proper'From the perusal of thestatementof account, it is clear that at someplacesthe respondent bank has levied bouncing charges ofRs.500/-, whereasat some places it has levied Rs.3,000/-,and at some places Rs'1800/- per bounce' The chargeslevied by the respondent FI as Rs'3'000/- and Rs.1800/-per bouncecannot be accepted' and the respondentFI cannot be permifted to act like a creditor withoutfollowingthe applicable guidelines'Therefore'the chargeslevied as Rs.3,000/- per bounceand Rs'1800/- per bounce arehereby set aside' The respondentFI is directed tocharge Rs.500/-per bounceand calculatethe statementofaccountaccordingly.TheSAisdisposedof as infructuouswith the above direction'
File be consignedto record.
----1 *, (susHIL KUmARRASTOGI) PRESIDING OFRCER DRT-II, Delhi
P
2 issues framed by the court
whether the Debt Recovery Tribunal has jurisdiction to adjudicate on excessive cheque bouncing charges levied by a financial institution when the applicant's account has become standard
whether cheque bouncing charges exceeding Rs. 500 per bounce are permissible when levied as default fees by a Financial Institution
WASIM AKRAM
BAIAI HOUSING FINANCE LTD
SUSHIL KUMAR RASTOGI
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
