Because there is a modification u/s 40A(3) for payment made more than 20000/- from crossed cheque to account payee cheque.
Ans-- crossed cheque : two parallel lines are made in corner of cheque. it can be endorsed in fovour of any other person. e.g. A issued crossed cheque in the name of B. now, B can endorse this cheque in favour of C by writing and signing on its back and C can get money into his a/c even cheque is in name of B.
a/c payee : in between those parralel lines, "account payee" is also written. in above example, if cheque is a/c payee, B cannot endorse in favour of any other person. money will go into B's a/c only.
a/c payee : in between those parralel lines, "account payee" is also written. in above example, if cheque is a/c payee, B cannot endorse in favour of any other person. money will go into B's a/c only.
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