1. Which of the following is NOT a type of negotiable instrument?
A. Promissory Note
B. Bill of Exchange
C. Cheque
D. Contract Agreement
A Contract Agreement is not considered a negotiable instrument because it does not have the characteristic of transferability where the transferee has a better title than the transferor. In contrast, Promissory Notes, Bills of Exchange, and Cheques are considered negotiable instruments.
2. What is the main feature of a negotiable instrument?
A. It requires a notary public for validation.
B. It is a guarantee of payment by the issuer.
C. It is freely transferable, and the transferee’s title is better than the transferor’s.
D. It must be endorsed by two witnesses.
The main feature of a negotiable instrument is its transferability. It means that the instrument can be transferred from one person to another, and the transferee (new holder) acquires a better title than the transferor (original holder), even if there were issues with the original transaction.
3. In which case would the holder of a negotiable instrument likely win in court?
A. If the holder is the original issuer of the instrument.
B. If the holder received the instrument through an illegal transaction.
C. If the holder is a holder in due course and the instrument was transferred correctly.
D. If the holder does not endorse the instrument.
A holder in due course of a negotiable instrument, who receives the instrument in good faith and for value, is generally protected and can enforce the instrument against the issuer or any prior parties, even if there were issues with the original transaction.
4. Which of the following instruments can be classified as negotiable according to Section 137 of the Transfer of Property Act?
A. Commercial Paper
B. Treasury Bill
C. Bill of Lading
D. Certificate of Deposit
Section 137 of the Transfer of Property Act treats certain instruments like Railway Receipt, Bills of Lading, Warehouse Receipt etc as negotiable. While Commercial Papers, Treasury Bills, and Certificates of Deposit are negotiable, they fall under different categories and regulations.
5. If **B** transfers a Promissory Note to **C**, what does **C** acquire?
A. A lesser title than **B**.
B. No rights to claim payment.
C. A better title to claim payment than **B**.
D. The same title as **B**.
When **B** transfers a Promissory Note to **C**, **C** acquires a better title than **B**. This means that **C** has the right to claim payment from the issuer of the Promissory Note, even if **B** had issues with the issuer.
6. According to Section 4 of the Negotiable Instruments Act, which of the following is TRUE about a promissory note?
A. It does not require payment of stamp duty.
B. It must be in writing, contain an unconditional promise to pay, and be signed by the maker.
C. It can be either a demand promissory note or a usance promissory note.
D. Currency notes are considered a type of promissory note.
A promissory note must be in writing, contain an unconditional promise to pay a specified amount, and be signed by the maker. It requires payment of stamp duty and can be classified as a demand promissory note or a usance promissory note. Currency notes are excluded from the definition of promissory notes.
7. What are the two parties involved in a promissory note?
A. Maker and Endorser
B. Drawer and Drawee
C. Maker and Payee
D. Issuer and Holder
In a promissory note, the two parties involved are the Maker, who promises to pay, and the Payee, who is to receive the payment.
8. Which of the following types of promissory notes is NOT included under the definition?
A. Demand Promissory Note
B. Usance Promissory Note
C. Bank Note
D. Currency Note
Currency notes are excluded from the definition of a promissory note. Promissory notes include Demand and Usance Promissory Notes but not Currency Notes.
9. What is required for a promissory note to be valid under Section 4?
A. It must be endorsed by the payee.
B. It must be in writing, contain an unconditional promise, and be signed by the maker.
C. It must include a future payment date.
D. It must be notarized.
For a promissory note to be valid under Section 4, it must be in writing, contain an unconditional promise to pay a certain amount, and be signed by the maker. It does not need to be endorsed, notarized, or include a future payment date.
10. What are the two types of promissory notes mentioned in the Negotiable Instruments Act?
A. Secured and Unsecured
B. Short-Term and Long-Term
C. Demand and Usance
D. Conditional and Unconditional
The Negotiable Instruments Act mentions two types of promissory notes: Demand Promissory Notes, which are payable on demand, and Usance Promissory Notes, which are payable at a future date.
11. Why are currency notes excluded from the definition of a promissory note under the Negotiable Instruments Act?
A. They are not written documents.
B. They do not include an unconditional promise to pay.
C. They are issued by the central bank and not by private individuals.
D. They are not considered negotiable instruments.
Currency notes are excluded from the definition of promissory notes because they are issued by the central bank and represent legal tender rather than an unconditional promise to pay by a private individual.
12. According to Section 5 of the Negotiable Instruments Act, what is a Bill of Exchange?
A. An instrument in writing that contains an unconditional promise to pay.
B. An instrument in writing containing an unconditional order, directing a person to pay a certain sum of money.
C. A written acknowledgment of debt.
D. A promissory note that can be transferred by endorsement.
A Bill of Exchange is an instrument in writing that contains an unconditional order, signed by the maker, directing a certain person to pay a specified sum of money. It is different from a promissory note as it is an order, not a promise.
13. In a Bill of Exchange, what role does the 'Drawer' play?
A. The person who is directed to pay the money.
B. The person who benefits from the payment.
C. The person who issues the order for payment.
D. The person who signs the document as a witness.
In a Bill of Exchange, the 'Drawer' is the person who issues the order for payment, directing the drawee to pay a specified sum of money.
14. What is the role of the 'Drawee' in a Bill of Exchange?
A. The person who issues the Bill of Exchange.
B. The person who is directed to pay the specified sum of money.
C. The person who receives the payment.
D. The person who endorses the Bill of Exchange.
The 'Drawee' in a Bill of Exchange is the person who is directed to pay the specified sum of money as per the order given by the drawer.
15. Who is considered the 'Payee' in a Bill of Exchange?
A. The person who signs the Bill of Exchange.
B. The person who issues the order for payment.
C. The person to whom the money is to be paid.
D. The person who endorses the Bill of Exchange.
The 'Payee' in a Bill of Exchange is the person to whom the money is to be paid as specified in the instrument.
16. Which party in a Bill of Exchange is responsible for paying the amount specified in the instrument?
A. The Drawer
B. The Drawee
C. The Payee
D. The Endorser
In a Bill of Exchange, the Drawee is the party responsible for paying the amount specified in the instrument.
17. What type of order does a Bill of Exchange contain according to Section 5?
A. Conditional Order
B. Unconditional Order
C. Future Order
D. Secured Order
A Bill of Exchange contains an unconditional order directing a certain person to pay a specified sum of money.
18. According to Section 6 of the Negotiable Instruments Act, what is a cheque?
A. A promissory note payable on demand.
B. A Bill of Exchange payable on demand where the drawee is always a banker.
C. A document used to acknowledge debt.
D. An instrument similar to a bond.
A cheque is defined as a Bill of Exchange that is always payable on demand and the drawee is always a banker. It also includes truncated cheques and electronic cheques.
19. What is the key difference between a cheque and a Bill of Exchange?
A. A cheque can be issued by any individual, while a Bill of Exchange can only be issued by a banker.
B. A cheque is payable at a future date, while a Bill of Exchange is payable on demand.
C. A cheque requires endorsement to be transferred, while a Bill of Exchange does not.
D. A cheque is always payable on demand and the drawee is always a banker, unlike a Bill of Exchange.
The key difference is that a cheque is always payable on demand and the drawee is always a banker, whereas a Bill of Exchange can be payable at a future date and the drawee can be anyone.
20. What types of cheques are included under the definition of a cheque?
A. Only paper cheques
B. Only electronic cheques
C. Truncated cheques and electronic cheques
D. Cheques with future dates
The definition of a cheque includes truncated cheques and electronic cheques, in addition to traditional paper cheques.
21. How is a negotiable instrument treated if neither 'bearer' nor 'order' is written on it?
A. It is considered invalid.
B. It is treated as payable to order.
C. It is treated as payable to bearer.
D. It is considered as a promissory note.
If neither 'bearer' nor 'order' is written on a negotiable instrument, it is treated as payable to order.
22. What happens if both 'bearer' and 'order' are written on a negotiable instrument?
A. It is treated as invalid.
B. It is considered as payable to order.
C. It is treated as payable to bearer.
D. It is considered a promissory note.
If both 'bearer' and 'order' are written on a negotiable instrument, it is treated as payable to bearer.
23. According to Section 20 of the Negotiable Instruments Act, what is an Inchoate Instrument?
A. An instrument with all required details completed.
B. An instrument on which date, payee, or amount is not mentioned.
C. An instrument that is partially signed.
D. An instrument with a missing signature.
An Inchoate Instrument is one on which date, payee, or amount is not mentioned. It is considered incomplete and can be completed by the holder without it being treated as material alteration.
24. What can be done with an incomplete cheque under the Negotiable Instruments Act?
A. It must be returned to the issuer.
B. It cannot be completed by anyone.
C. It can be completed by the holder and the completion will not be considered a material alteration.
D. It can be used only if it is signed by the issuer.
An incomplete cheque can be completed by the holder, and this completion will not be treated as a material alteration.
25. What is the status of an instrument that does not have any signatures?
A. It is not treated as an instrument at all.
B. It is considered valid but unenforceable.
C. It is considered a draft or preliminary document.
D. It can be used as evidence of debt.
An instrument without signatures is not treated as an instrument at all under the Negotiable Instruments Act.
26. Who is considered a holder of a promissory note, bill of exchange, or cheque?
A. The person who is entitled to endorse the instrument.
B. The person who issued the instrument.
C. Any person entitled in their own name to the possession thereof and to receive the amount due.
D. The person who has signed the instrument.
A holder of a promissory note, bill of exchange, or cheque is any person entitled in their own name to the possession thereof and to receive the amount due from the parties involved.
27. According to Section 9 of the Negotiable Instruments Act, who is considered a Holder in Due Course?
A. A person who acquires a negotiable instrument for nominal consideration.
B. A person who becomes a holder of a negotiable instrument for valuable consideration, in good faith, before it becomes due, and without any reason to believe that the transferor was not entitled to it.
C. A person who inherits a negotiable instrument from a deceased relative.
D. A person who acquires a negotiable instrument as a gift.
A Holder in Due Course is a person who acquires a negotiable instrument for valuable consideration, in good faith, before it becomes due, and without any reason to believe that the person transferring the instrument was not entitled to it.
28. What are the key requirements for someone to be considered a Holder in Due Course?
A. The holder must have acquired the instrument as a gift and with knowledge of its defects.
B. The holder must have received the instrument after it has become overdue and with knowledge of any defects.
C. The holder must have obtained the instrument for valuable consideration, in good faith, before it was due, and without knowledge of any defects in title.
D. The holder must be a financial institution with a prior agreement on the terms.
To be a Holder in Due Course, the person must acquire the instrument for valuable consideration, in good faith, before it becomes due, and without knowledge of any defects in the title of the instrument.
29. What happens if a person who is not a Holder in Due Course acquires a negotiable instrument?
A. They are not entitled to the protections and rights afforded to a Holder in Due Course.
B. They automatically become a Holder in Due Course after acquiring the instrument.
C. They can enforce the instrument without any limitations.
D. They are considered a bona fide purchaser for value without further implications.
A person who is not a Holder in Due Course is not entitled to the special protections and rights provided to a Holder in Due Course, and they may be subject to defenses that the transferor could have raised.
30. What is a fundamental characteristic of a Holder in Due Course regarding their knowledge of the instrument?
A. They must have complete knowledge of the history of the instrument.
B. They must be aware of all the previous holders of the instrument.
C. They must have no reason to believe that the instrument is defective or that the transferor was not entitled to it.
D. They must have a legal agreement with the previous holder regarding the instrument's validity.
A fundamental characteristic of a Holder in Due Course is that they must have no reason to believe that the instrument is defective or that the transferor was not entitled to it.
31. How is a bearer instrument negotiated?
A. By mere delivery.
B. By endorsement and delivery.
C. By endorsement only.
D. By legal declaration.
A bearer instrument is negotiated by mere delivery; no endorsement is required.
32. How can an order instrument be negotiated?
A. By mere delivery.
B. By endorsement followed by delivery.
C. By delivery only.
D. By endorsement only.
An order instrument can be negotiated by endorsement followed by delivery.
33. Can legal heirs complete the negotiation of a negotiable instrument with the endorsement of a deceased person?
A. No, they cannot complete the negotiation merely by delivery.
B. Yes, if they provide a legal declaration.
C. Yes, if the endorsement is registered.
D. No, they must obtain a court order.
Legal heirs cannot complete the negotiation of a negotiable instrument with the endorsement of a deceased person merely by delivery.
34. What is the process of endorsement according to Section 15 of the NI Act?
A. Signing a contract related to the instrument.
B. Signing the instrument on the back or face, or on a slip of paper annexed for negotiation purposes.
C. Making a verbal agreement regarding the instrument.
D. Writing a letter to the person holding the instrument.
Endorsement involves signing the instrument on the back or face, or on a slip of paper annexed for negotiation purposes.
35. In an endorsement, who is referred to as the endorser?
A. The person who receives the instrument.
B. The person who initially issues the instrument.
C. The person who transfers the instrument.
D. The person who collects the payment for the instrument.
The endorser is the person who transfers the instrument.
36. Which type of endorsement involves signing at the back without specifying the endorsee's name?
A. Blank Endorsement
B. Endorsement in Full
C. Conditional Endorsement
D. Restrictive Endorsement
A Blank Endorsement involves signing at the back of the instrument without specifying the endorsee's name.
37. What does a Restrictive Endorsement achieve?
A. It imposes a condition on the endorsement.
B. It restricts further negotiation of the instrument.
C. It excludes the endorser's liability.
D. It specifies the endorsee's name.
A Restrictive Endorsement restricts further negotiation of the instrument.
38. What does a Sans Recourse Endorsement signify?
A. It allows for unlimited negotiation.
B. It imposes a condition for payment.
C. It includes the endorsee's name.
D. It excludes the endorser's liability.
A Sans Recourse Endorsement excludes the endorser's liability.
39. What protection does a paying banker receive under Section 85 of the NI Act?
A. Protection for paying a cheque in good faith and in accordance with its apparent tenor.
B. Protection for not verifying the signature of the drawer.
C. Protection against any claims from the drawer for payment errors.
D. Protection for paying a cheque that has been altered.
Under Section 85 of the NI Act, a paying banker is protected when they pay a cheque in good faith and in accordance with its apparent tenor.
40. According to Section 10 of the NI Act, which condition must be met for a payment to be considered in due course?
A. Payment is made under suspicious circumstances.
B. Payment is made in good faith and without negligence.
C. Payment is made to anyone who presents the cheque.
D. Payment is made regardless of the instrument's apparent tenor.
For a payment to be considered in due course, it must be made in good faith and without negligence, and according to the apparent tenor of the instrument.
41. What is the requirement for the form of a cheque according to CTS 2010 standards?
A. The form of the cheque is not specified in the NI Act but follows CTS 2010 standards prescribed by RBI.
B. The form of the cheque is strictly defined by the NI Act.
C. The form of the cheque can be customized by each bank as per their discretion.
D. The form of the cheque must be printed in multiple colors.
The form of a cheque is not specified in the NI Act but follows the CTS 2010 standards prescribed by RBI.
42. Can a cheque be drawn in different inks and handwritings?
A. No, a cheque must be drawn in a single ink and handwriting.
B. Yes, a cheque can be drawn in different inks and handwritings.
C. Only one color ink is permitted, but different handwritings are allowed.
D. A cheque must be drawn in blue ink only.
A cheque can be drawn in different inks and handwritings, and can still be paid.
43. In which languages can a cheque be written?
A. Hindi, English, or Regional languages.
B. Only English and Hindi.
C. Only English.
D. Any language.
A cheque should be written in Hindi, English, or Regional languages. Banks can return cheques written in languages other than the regional language of the bank.
44. What is the purpose of obtaining signatures on the back of a cheque when it is presented for payment?
A. To record the witness of payment.
B. To authenticate the cheque's issuer.
C. To verify the cheque's amount.
D. To confirm the cheque's date.
The signatures on the back of a cheque are obtained to record the witness of payment. If the presenter refuses to sign, the bank can take a receipt on a separate paper.
45. What action can a bank take if the presenter of a cheque refuses to sign on the back?
A. The bank must return the cheque unpaid.
B. The bank can take a receipt on a separate paper.
C. The bank can issue a new cheque.
D. The bank must refuse to process the cheque.
If the presenter refuses to sign on the back, the bank can take a receipt on a separate paper to acknowledge the transaction.
46. What is an ante-dated cheque?
A. A cheque dated prior to its date of presentation.
B. A cheque dated after its date of presentation.
C. A cheque that has expired.
D. A cheque with an impossible date.
An ante-dated cheque is dated prior to its date of presentation. It is a valid cheque and can be paid.
47. What is the validity period of a stale cheque as per RBI guidelines?
A. 3 months from the date of issue.
B. 6 months from the date of issue.
C. 12 months from the date of issue.
D. 1 year from the date of presentation.
As per RBI guidelines, a cheque becomes stale after 6 months from its date of issue.
48. What should be done with a cheque dated 31.11.2019?
A. It should be paid on the last day of the month or within 3 months of the last day of the month.
B. It should be returned as invalid due to an impossible date.
C. It should be considered valid if presented on any date.
D. It should be treated as a stale cheque if not presented within 6 months.
A cheque dated 31.11.2019 should be paid on the last day of the month or within 3 months of the last day of the month, as it is considered an impossible date.
49. What is the correct procedure when the amount written in words and figures on a cheque differs?
A. The amount written in words should be paid as per Section 18 of the NI Act.
B. The cheque should be returned with the reason “Amount in words and figures mismatch.”
C. The amount written in figures should be paid.
D. The cheque is considered invalid and should be destroyed.
According to Section 18 of the NI Act, if the amount written in words and figures differs, the amount written in words should be paid, and the cheque is usually returned with the reason “Amount in words and figures mismatch.”
50. When should a cheque be paid to ensure it is considered a payment in due course?
A. Only during banking hours.
B. At any time of the day.
C. After banking hours if the amount is reasonable.
D. Only during business hours of the drawer's bank.
The payment of a cheque should be made only during banking hours to be considered a payment in due course. However, a reasonable amount can be paid to the drawer even after banking hours, as per specific bank instructions.
51. What is the threshold amount that can be paid to the drawer after banking hours according to Bank of Baroda?
A. Rs. 1000/-
B. Rs. 5000/-
C. Rs. 10,000/-
D. Rs. 50,000/-
According to the books of instruction of Bank of Baroda, a reasonable amount that can be paid to the drawer after banking hours is Rs. 5000/-.
52. How should a mutilated cheque be handled?
A. It should be confirmed by the drawer or by the collecting banker.
B. It should be returned to the drawer immediately.
C. It should be considered invalid and destroyed.
D. It should be paid under special circumstances.
If a cheque is mutilated, it should be confirmed by the drawer or by the collecting banker to validate its authenticity.
53. What constitutes a material alteration on a cheque?
A. Change in date, amount, or name of the payee.
B. Adding a signature on the back.
C. Changing the cheque from bearer to order.
D. Completing an incomplete cheque.
Material alteration refers to changes in the date, amount, or name of the payee, or altering the crossing status of the cheque. Completing an incomplete cheque or changing from bearer to order is not considered material alteration.
54. How should a cheque with material alteration be handled?
A. It should be paid immediately without confirmation.
B. It can be paid only after confirmation from the drawer with full signatures.
C. It should be returned to the drawer for correction.
D. It should be treated as invalid and destroyed.
A cheque with material alteration should be paid only after obtaining confirmation from the drawer with full signatures to validate the changes.
55. What defines a cheque with general crossing?
A. A cheque with two transverse parallel lines on its face.
B. A cheque with the words "Payable at Indore" between two parallel lines.
C. A cheque that is crossed with the words "Not Negotiable."
D. A cheque with a single transverse line across it.
General crossing of a cheque is defined by having two transverse parallel lines on its face, which may or may not include additional words like “& Co.”
56. What is the implication of general crossing on a cheque?
A. The cheque can only be paid to or through a bank.
B. The cheque can be cashed across the counter by the payee.
C. The cheque can be paid to any individual or entity.
D. The cheque can be paid to the drawer directly.
A cheque with general crossing should be paid only to or through a bank. It cannot be cashed across the counter by the payee or holder.
57. What characterizes a cheque with special crossing?
A. The cheque has two parallel transverse lines and the name of a bank is written on it.
B. The cheque has the name of a bank written on it, with or without two parallel transverse lines.
C. The cheque is crossed with the words "Not Negotiable."
D. The cheque is written with multiple bank names across its face.
A cheque with special crossing has the name of a bank written on it, with or without two parallel transverse lines. This type of crossing restricts payment to the bank named on the cheque.
58. What happens to a cheque crossed to two banks?
A. It must be returned unpaid unless one bank is an agent of another for collection.
B. It can be paid to either of the two banks without restriction.
C. It is considered invalid and cannot be paid at all.
D. It can be paid to any individual or institution.
A cheque crossed to two banks must be returned unpaid unless one of the banks is crossing it to another as its agent for collection.
59. According to RBI guidelines, how should "account payee" cheques be handled?
A. They can be collected only by the payee.
B. They can be collected by a third party only if the amount is up to Rs. 50,000 for cooperative credit societies.
C. They are not allowed to be collected by anyone other than the payee.
D. They can be freely collected by any individual or institution.
According to RBI guidelines, "account payee" cheques can be collected by a third party only if the amount is up to Rs. 50,000 for cooperative credit societies.
60. Under which of the following circumstances cannot payment be made on a cheque?
A. Death, insolvency, insanity of the customer, insolvency of a partner, or liquidation of the company.
B. Stop payment request.
C. Receipt of garnishee attachment order.
D. Post-dated cheque.
E. Stale cheque.
Payment cannot be made in case of death, insolvency, insanity of the customer, insolvency of a partner, or liquidation of the company. Payment cannot also be made for stop payment requests, receipt of a garnishee attachment order, post-dated cheques, and stale cheques. However, payment can be made in cases of death of an agent or authorized signatory if the cheque is not dated prior to the date of authority to the agent and subsequent to the date of death.
61. Under Section 138 of the Negotiable Instruments Act, what is the penalty for dishonoring a cheque due to insufficient funds?
A. Imprisonment for up to one year, or a fine up to the amount of the cheque, or both.
B. Imprisonment for up to two years, or a fine up to twice the amount of the cheque, or both.
C. Imprisonment for up to three years, or a fine up to the amount of the cheque, or both.
D. Imprisonment for up to six months, or a fine up to the amount of the cheque, or both.
Under Section 138, the penalty for dishonoring a cheque due to insufficient funds is imprisonment for up to two years, or a fine up to twice the amount of the cheque, or both.
62. What is the maximum amount of interim compensation that a court can direct under Section 143A of the Amendment Act?
A. 10% of the amount stated in the cheque.
B. 20% of the amount stated in the cheque.
C. 25% of the amount stated in the cheque.
D. 50% of the amount stated in the cheque.
Under Section 143A, the court can direct interim compensation up to 20% of the amount stated in the cheque.
63. What is the time period within which interim compensation must be paid by the drawer, as per Section 143A?
A. 30 days from the date of the court order.
B. 60 days from the date of the court order, with an additional 30 days if extended by the court.
C. 90 days from the date of the court order.
D. 45 days from the date of the court order.
The interim compensation must be paid within 60 days from the date of the court order, with an additional 30 days if the court allows an extension.
64. What happens if the drawer is acquitted after paying interim compensation under Section 143A?
A. The drawer will not receive any reimbursement.
B. The court will direct the complainant to pay the drawer the interim compensation along with interest.
C. The interim compensation is permanently forfeited.
D. The complainant must pay a fine equivalent to the interim compensation.
If the drawer is acquitted, the court will direct the complainant to pay the drawer the interim compensation along with interest.
65. How is the final compensation awarded to the complainant adjusted in the case of dishonored cheques?
A. The final compensation includes only the amount mentioned in the cheque.
B. The final compensation is awarded after deducting any interim compensation already paid.
C. The final compensation is always greater than the interim compensation.
D. The interim compensation is not considered in the final compensation.
The final compensation awarded to the complainant is given after deducting any interim compensation that was previously paid.
66. Under Section 148 of the Amendment Act, what is the minimum amount the appellant court can order a drawer to deposit during the pendency of an appeal?
A. 10% of the fine or compensation awarded by the Magistrate Court.
B. 20% of the fine or compensation awarded by the Magistrate Court.
C. 30% of the fine or compensation awarded by the Magistrate Court.
D. 50% of the fine or compensation awarded by the Magistrate Court.
Under Section 148, the appellant court can order the drawer to deposit a minimum of 20% of the fine or compensation awarded by the Magistrate Court during the appeal.
67. What is the procedure for the refund of the deposited amount if the appeal under Section 148 succeeds?
A. The deposited amount is forfeited regardless of the appeal outcome.
B. The deposited amount is refunded to the drawer, similar to the procedure under Section 143A.
C. The amount is used to pay any additional fines imposed during the appeal.
D. The amount is donated to a charity.
If the appeal succeeds, the deposited amount is refunded to the drawer, following a procedure similar to that outlined in Section 143A of the Amendment Act.
