India, Nov. 29 -- In a significant verdict, the Supreme Court held on Friday that a cheque-bounce case can only be filed in a court within the jurisdiction of which the complainant's bank is located. Usually, a dispute arises with regard to the jurisdiction of a court where cheque dishonour cases under section 138 of the Negotiable Instruments Act, 1881, have to be filed. Section 138 of the Act deals with a cheque bouncing due to the insufficiency of funds in the bank account. A bench of Justices JB Pardiwala and R Mahadevan settled the legal conundrum while dealing with some transfer petitions filed in a cheque-bounce case.

"In view of the aforesaid discussion, it is as clear as a noon day that the jurisdiction to try a complaint filed ...