Power to order bill, etc., to be deposited with officer of Court
Full Text
In any proceeding under this Order the Court may order the bill, hundi or note on which the suit is founded to be forthwith deposited with an officer of the Court, and may further order that all proceedings shall be stayed until the plaintiff gives security for the costs thereof.
Plain English Summary
Authorizes the court to impound the original negotiable instrument (bill of exchange, hundi, promissory note) into judicial custody and stay proceedings until the plaintiff provides security for costs if suspicious circumstances warrant.
Key Legal Elements
- Impounding Negotiable Instruments: Prevents tampering, loss, fraudulent negotiation, or secondary endorsement of original commercial paper.
- Judicial Custody: Deposited with Nazir, Registrar, or designated court officer.
- Security for Costs from Plaintiff: Court can condition continuation of the suit on plaintiff furnishing security for costs if genuineness is suspect.
- Interplay with Negotiable Instruments Act, 1881: Shields defendant from double jeopardy of holder-in-due-course claims.
Practical Note
Forensic Safeguard Against Fraudulent Commercial Instruments: 1. Impounding Original Negotiable Paper: Where the defendant alleges that the promissory note or bill has been materially altered under Section 87 of the Negotiable Instruments Act, 1881, forged, or executed on stolen stamp paper, defense counsel should immediately move under Rule 5 to have the original instrument impounded into court custody. 2. Security for Costs: The court can stay the summary suit until the plaintiff furnishes security for costs, protecting the defendant against frivolous litigation brought on fabricated instruments.
हिंदी पाठ
इस आदेश के अधीन किसी भी कार्यवाही में न्यायालय यह आदेश दे सकेगा कि वह विनिमय-पत्र, हुंडी या वचन-पत्र जिस पर वाद आधारित है, न्यायालय के किसी अधिकारी के पास तुरंत जमा कर दिया जाए, तथा यह आगे भी आदेश दे सकेगा कि जब तक वादी उसके खर्चों के लिए प्रतिभूति न दे दे तब तक सभी कार्यवाहियां रोक दी जाएं।