TIOL-DDT 1659 · Tuesday, 26 July 2011 · story 7 of 8
Dishonour / Return of Cheques - Need to Sign / Initial Cheque Return Memo - RBI Instructions
By Vijay Kumar
CERTAIN instances of banks not signing the Cheque Return Memos stating that the Memos are computer generated and therefore no signature is necessary have been brought to the notice of RBI. Such practices are violation of instructions contained in Uniform Regulations and Rules for Bankers' Clearing Houses (URRBCH), which is issued under Payment and Settlement Systems Act 2007, read with Payment and Settlement Systems Regulations 2008.
Banks are, therefore, advised to strictly adhere to the instructions and sign/initial the Cheque Return Memos as laid down in Rule 6 of URRBCH.