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      Question

      A cheque bearing across its face two parallel transverse

      lines, with or without the words 'and company', is said to be:
      A Crossed specially Correct Answer Incorrect Answer
      B Crossed generally Correct Answer Incorrect Answer
      C An open cheque Correct Answer Incorrect Answer
      D A truncated cheque Correct Answer Incorrect Answer
      E Marked 'not negotiable' only Correct Answer Incorrect Answer

      Solution

      Section 123 provides that where a cheque bears across its face an addition of the words 'and company' or any abbreviation thereof, between two parallel transverse lines, or simply two parallel transverse lines, with or without the words 'not negotiable', that addition is deemed a crossing and the cheque is crossed generally. By contrast, Section 124 deals with a special crossing, which includes the name of a banker across the face of the cheque.

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