At the outset, let me clarify that this site is designed by a group of senior Banking Professionals to assist Bank Customers at large to provide guidance for resolution of any complain/query/grievance in respect of financial services. This site does not belong to any Bank or a regulator, which may please be noted.
Your concern with regard to non credit of proceeds in respect of the cheque mentioned in your communication is genuine. In this regard, I reproduce here under the relevant RBI guidelines to banks for your understanding and pursuing the matter further.
What is the timeline for realization of local and outstation cheques and compensation payable if there are delays in affording credit?
Local cheques are payable within the jurisdiction of the clearing house and will be presented through the clearing system prevailing at the centre. Credit arising out of local cheques shall be given to the customer’s account as indicated in the Cheque Collection Policy (CCP) of the concerned collecting bank.
If there is any delay in credit, beyond the period specified above, customer is entitled to receive compensation at the rate specified in the CCP of the concerned collecting bank. In case, no rate is specified in the CCP for delay in realisation of local cheques, compensation at savings bank interest rate has to be paid for the corresponding period of delay.
Maximum timeframe for collection of cheques drawn on state capitals/major cities/other locations are 7/10/14 days respectively.
If there is any delay in collection beyond this period, customer is entitled to receive compensation at the rate specified in the Cheque Collection Policy (CCP) of the concerned bank. In case the rate is not specified in the CCP, interest rate on Fixed Deposits for the corresponding maturity to be paid. Banks' cheque collection policy also indicates the limit up to which outstation cheques are given immediate/instant credit.
Keeping the above I suggest you to take up with Nodal Officer of your bank whose contact details can be found on the bank's website. In case there is no acceptable response from the bank you may escalate to the Banking Ombudsman 30 days after the date of your complaint to your bank.
For address of the Office of the Banking Ombudsman, Area of Operation (jurisdiction) and the procedure for lodging complaint, you may access the website https://bankingombudsman.rbi.org.in/
J R Mohandas