Banking · Cheque Truncation System and NI Act

Consider the following statements regarding the Cheque Truncation System (CTS) and legal provisions under the Negotiable Instruments Act, 1881: Statement I: According to Section 6 of the NI Act, a 'truncated cheque' means a cheque which is truncated during the course of a clearing cycle, and the electronic image thereof is substituted for the physical cheque. Statement II: The 'Truncating Bank' is responsible for ensuring the prima facie genuineness of the cheque and verifying that there are no visible material alterations before scanning. Statement III: In a legal proceeding under Section 138, the electronic image of a truncated cheque is not admissible as evidence unless the physical paper is produced. Statement IV: The 'Positive Pay System' is mandatory for all cheques above Rs. 2,00,000 in India. Statement V: If a paying banker dishonours a truncated cheque, they must return the electronic image along with a 'Reason for Return' code to the collecting banker. Which of the above statements are correct?