Madras High Court: Coming down heavily upon the authorities for not issuing crossed cheques in the name of the motor accident claimants, the bench of S. Vaidyanathan, J., directed that the authorities must ensure that crossing should be made in the cheques with the endorsement ‘A/c payee’ and not with the endorsement ‘& Co.’
In the present case, the appellant challenged the award passed by the Motor Accidents Claims Tribunal. Enhancing the award passed by the Tribunal, the Court most importantly took notice of the fact that how the crossed cheques issued to the claimants are endorsed as ‘& Co.’ instead of ‘A/c payee’. The Court cautioned the authorities to refrain from such practices and warned of stringent consequences against the erring officials if such discrepancy comes to the notice of the Court again. [N. Dileep v. M/s. Royal College of Engineering and Technology, 2016 SCC OnLine Mad 1638, decided on 26.02.2016]
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