When a bill of exchange is discounted with a commercial bank by the holder before its maturity, the bank deducts a certain amount called discount. If the bill is dishonored on the due date by the drawee, what is the immediate legal and accounting action the bank takes against the person who discounted the bill?

X draws a bill on Y for 3,00,000 units on June 1, 2025, for 3 months. Y accepts it. On July 1, X endorses it to Z. On August 1, Z endorses it to W. On September 1, W sends the bill to the bank for collection. On the due date, the bill is dishonored. Noting charges are 1,200 units. W pays the bank and then recovers from Z. Z recovers from X. X finally sues Y. How much will X eventually recover from Y including the original amount, noting charges, and 2,000 units as legal expenses?

Consider the following statement regarding legal provisions under Indian law: 'A bill of exchange cannot be drawn payable to the bearer on demand because this would violate the provisions of the Reserve Bank of India Act, 1934, which gives the RBI the sole right to issue demand notes payable to bearer.' Which legal instrument's restriction on demand bearer documents is accurately described by this statement?