Negotiable Instruments Act, 1881

Corporate & Other Laws

H is the payee of the bill. C steals and forges this bill for a consideration to D (bought it in good faith). Whether D is HDC or not

Harsh Mittal

CA Final

★ 1K+

09-May-22 22:41

481

Answers (5)

Yes D is HDC

TIRTH SAGAR

CA Inter

★ 3K+

09-May-22 22:49

So he will receive amount on the bill even though there is forgery?

Thread Starter

Harsh Mittal

CA Final

★ 1K+

10-May-22 06:38

Thread Starter

Harsh Mittal

So he will receive amount on the bill even though there is forgery?

Yes he can

Sudha Reddy

CA Final

★ 20K+

10-May-22 09:34

If there is any forgery, then the transaction is void and invalid.

Mathuradevi S

CA Inter

★ 310

10-May-22 09:36

Mathuradevi S

If there is any forgery, then the transaction is void and invalid.

Forgery in nullity in case the original sign of acceptor on the instrument is forged. In such situation, instrument will not bind the parties. However, if the endorsement is forged, HIDC principle shall apply. It will not make the instument void.

CA YOGITA HARJANI

Faculty

10-May-22 20:36