Chapter 39

CHEQUES.

385. Issue of false cheques.

(1) Any person, including a public officer in relation to public funds, who—

(a) without reasonable excuse, proof of which shall be on him or her, issues any cheque drawn on any bank where there is no account against which the cheque is drawn;

(b) issues any cheque in respect of any account with any bank when he or she has no reasonable ground, proof of which shall be on him or her, to believe that there are funds in the account to pay the amount specified on the cheque within the normal course of banking business; or

(c) with intent to defraud stops the payment of or countermands any cheque previously issued by him or her, commits an offence and is liable on conviction to a fine not exceeding double the amount represented on the cheque or to imprisonment not exceeding five years or to both.

(2) No person commits an offence by virtue of subsection (1)(b) in respect of a cheque which is presented for payment later than three months after the date specified on the cheque for payment.

(3) Where a person is convicted of an offence by virtue of subsection

(1)(c), the court may, if satisfied that there are adequate funds in the account of that person in respect of which the cheque in question was issued to meet the amount specified on the cheque, order the bank in question to honour the cheque; and any bank which complies with such an order shall not be liable to any claim in respect of that act.

(4) In this section—

(a) “cheque” and “issue” shall have the same meaning as assigned to them by the Bills of Exchange Act; and

(b) a reference to the issue of a cheque includes a reference to the issue of a cheque to the Government