Section 30 of NIA : Section 30: Liability Of Drawer
NIA
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Explanation using Example
Imagine John issues a cheque to Alice for Rs. 10,000 as payment for her services. Alice presents the cheque at the bank, but it gets bounced due to insufficient funds in John's account. Alice then sends a formal notice to John about the dishonoured cheque. Under Section 30 of The Negotiable Instruments Act, 1881, since John, the drawer of the cheque, has been notified of the dishonour, he is now legally obligated to compensate Alice, the holder of the cheque, for the amount that was dishonoured.