(1) Any person who draws, makes, utters, or issues and delivers to another any negotiable instrument with the intent, knowledge, or expectation that it will not be honoured by the drawee commits an offence and is liable—
(a) if the sum stated on the cheque is up to $5,000, on summary conviction to imprisonment for one year;
(b) if the sum stated on the cheque is above $5,000, on conviction on indictment to imprisonment for 3 years.
(2) The fact that—
(a) the maker or drawer had no account with the drawee at the time the negotiable instrument was issued and delivered; or
(b) payment was refused by the drawee for lack of funds, upon presentation within 30 days after delivery and the maker or drawer failed to make good within 10 days after receiving notice of non-payment;
shall be prima facie evidence of intent, knowledge, or expectation that the negotiable instrument would not be honoured upon presentation.
(3) In every trial in which the defendant is convicted under this section, the Court shall award as an element of its judgment, restitution to the payee of the negotiable instrument except in the following cases—
(i) where the negotiable instrument is post dated, or
(ii) where the payee or other holder believed or had reason to believe at the time he or she accepted the instrument that the maker or drawer did not have credit with or funds on deposit in the drawee bank sufficient to cover the instrument or that the negotiable instrument would not be paid upon presentation, or
(iii) where the negotiable instrument has been held by the payee or other holder for a period in excess of 30 days from the date of its making before presentation for payment, or
(iv) where the payee has failed to notify the maker or drawer of the instrument of its non payment for insufficient funds and has failed to allow the maker or drawer 10 days to make restitution.
(4) For the purpose of this section notice may be given orally to the maker, or in writing.
(5) Written notice may be sent by registered or certified mail with return receipt requested or by telegram, and addressed to the maker or drawer at his or her address shown—
(a) on the instrument; or
(b) on the records of the bank or of the drawee; or
(c) on the records of the person to whom the instrument has been issued and delivered.
(6) If written notice is given in accordance with this section, it shall be presumed that notice was received by the maker or drawee no later than 5 days after such written notice was mailed.
(7) It shall be a defence for the person charged under this section that restitution was made to the payee within 10 days of receipt by the maker of notice of non-payment of the instrument or that he or she did not receive notice as required under this section.