Concept:A stolen cheque must be treated as an urgent risk; the correct step is to alert the drawer so the bank that issued the cheque can stop payment.
Explanation:Obi received the cheque from Mr. Ade, so Mr. Ade is the drawer.
The cheque is drawn on Mr. Ade’s bank, not on Obi’s bank.
Therefore, Obi’s own bank cannot legally stop payment on it.
Obi should first inform Mr. Ade about the theft.
Mr. Ade will then instruct his bank to place a stop-payment order on the stolen cheque.
This action stops the cheque from being honoured if the thief tries to cash it or deposit it.
Answer:A. inform Mr. Ade to tell his bank to stop payment.