Cheating by a company
ram
(Querist) 11 June 2016
This query is : Resolved
We have received an enquiry for supply and erection of pipe line work in Andhra Pradesh. The order was big and we are not financially stable to collect the order. We have finalised the contract for supply and erection of pipe line for 1.28 crores + service charges of 12.5 lachs on our principle.
We have started the erection work and even after 2 months the material was not ready and the principle visited the works to convince the customer and informed them that to make the work faster they will send pipe erectors. We have completed the work. It has taken 8 months to complete the work.
Now they claim that their expenditure for 4 persons for 1 month and 2 persons for 4 months costed 11.25 lakhs. Where as we have maintained 6 people for 4 months, 10 people for 1 month and 04 people for 3 months. Cost incured to us is INR 14.38 lacks for labour and 5.21 for erection of equipment.
We are getting 30% on list price till date. Now they say that they will give 10% on the list price. i.e 12.8 lacks, 1.9 lacks for erection of equipment and .6 lacks for service. Totally 15.3 lacks. Which is not even meets our service expenses.
Proofs we have:
1. All the contract documents were signed by me.
2. Most of the payments made for salaries were made through bank.
3. Mail stating the discount on pricelist along with price list.
4. correspondence with the customer and principle.
We request you to inform us what to do now. We have to clear our bank od account, some hand loans which we have brought from our friends. We will be in big trouble if we dont collect the money.
Thanks & Regards
V Rambabu
R.K Nanda
(Expert) 11 June 2016
Query too long
Rajendra K Goyal
(Expert) 13 June 2016
Without knowing full case details and referring related documents, nothing can be advised. Discuss with local lawyer.