Question

    Which of the following is true about a bank

    draft?
    A It is a promissory note Correct Answer Incorrect Answer
    B It is not a negotiable instrument Correct Answer Incorrect Answer
    C It is very much like a cheque Correct Answer Incorrect Answer
    D It is a bill of exchange Correct Answer Incorrect Answer
    E It is neither a promissory note nor a bill of exchange Correct Answer Incorrect Answer

    Solution

    Explanation : 131A. Application of Chapter to drafts.— The provisions of this Chapter shall apply to any draft, as defined in section 85A, as if the draft were a cheque.

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