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Lotus (Engineer)     16 September 2014

Blank cheque with a sign - 5 year old

Hello All,

 

I need some suggestion.

 

Actually my father took a loan of Rs 70 thousand from a guy at 15 % per month. 

My father was in an urgent need of the money. 

That guy took a blank cheque with a sign from my father. 

 

My father paid him 1 lakh 40 thousand Rs as an interest slowly slowly.

 

Now he cannot pay the rest money to him. 

 

That guy now asking for Rs 25 Lakh and is sending us the summon against it.

 

Please guide me what should I do.

 

Waiting for your suggestions !!!

 

 

Thanks



Learning

 3 Replies

Hardeep (Business)     16 September 2014

If the cheque is clearly having a date which is 5 years old,  it anyways has no validity. So he can't send you any summons.

 

You need to be clear with your facts and provide all relevant details for anyone to address your query.

Lotus (Engineer)     16 September 2014

Hello,

 

Thanks a lot for your reply.

 

No it is without any date, just a blank cheque with signature on it.

That guy make money like this only, he provide loan to the people and later blackmail them using blank cheques, my father was aware of this fact and that's why my father put incomplete/fake sign on it.

Hardeep (Business)     16 September 2014

1) Putting an incomplete / fake sign  does not avoid liability.There are laws against that.

 

2) If the  Cheque is 5 years old, in any case new Cheque formats have been announced and old cheques were valid only till Dec. 2012. See :

https://articles.economictimes.indiatimes.com/2012-12-03/news/35568859_1_cts-2010-new-cheque-cheque-truncation-system


So, AFAIK, the Bank will not honor the Cheque to begin with and return it as a " Old / Stale Cheque " .

 

Depending upon exactly what does the summons ( if sent by Court  ) or his letter says and evidence you / he has you can decide your further course of action.

 

Further, there are laws under which a Money lender operates. For eg :

Karnataka Money Lenders Act, 1961
Bombay Money Lenders Act, 1946
Andhra Pradesh (Tel engana Area) Money Lenders Act,
The Punjab Registration of Money Lenders Act, 1938

....

You may need to be aware of relevant laws.


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