Outstanding payment

ROBERT MATHEWS (Querist) 06 November 2013 This query is : Resolved
HELLO SIRS,

Please advise if we have outstanding payable to a party and we have given a pdc,but the party wants immediate payment and threatens police complaint.

In this case, what is to be done to protect police arrest and also if the police can inspect our bank account for incoming and outgoing funds?

We were expecting a transfer from singapore and the bank in singapore told the remitting party that our account is under inspection for incoming and outgoing funds.So they refused to transfer the funds to our bank account.

Is it true? can this happen?

If yes and funds are received into our account, will they be frozen by Police OR ANY OTHER PARTIES?/

The amount outstanding to only party is approx 6lakhs.

Please advise.
thx

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Sudhir Kumar, Advocate (Expert) 06 November 2013
your query is vague. You have not indicted how the amount has become due and what was the agreement.

anyway PDC itself is an agreement that you will not pay before specific date.

Police has no powers to alter the terms of contract. Police is also not a loan recovery agency. Non-payment of loan is not a criminal act in India and police is not going to take any action at least at this stage.

Sudhir Kumar, Advocate (Expert) 06 November 2013
Police role will come very late.

If there is no sufficient amount in your account (forget about Singapore Bank transfer)you have to have amount in Bank on particular date.

If the cheque is bounced and you make no payment despite timely notice from him then he will have to file a case in court where you will go an apply for bail and if you fail to report then court will issue arrest warrant and only then police will come in picture.

In addition in case of cheque bouncing the party may in addition like to file a case of cheating which he can do directly with police and then police comes in picture and may arrest immediately. But this action cannot be there before cheque bouncing on particular date.

Raj Kumar Makkad (Expert) 06 November 2013
I do endorse the advice of Sudhir.

ROBERT MATHEWS (Querist) 07 November 2013
Dear Sudhirji,
Thanks for your email. The amount payable to party is approx 2 lacs.

I have given him 6mths pdc already with a notice from my current lawyer in pune.

But he has not confirmed receipt of cheques by email and has not even agreed payment by pdc dated 6mths by email.

I sent him the cheques by registered email which he has received.

But he has still gone to police and expecting early payment by me.

Should i stick to my payment terms of 6mths pdc because i know before then that i will not be able to pay??

If i stick to this payment terms, will police take any action/????

PLS ADVISE

Nadeem Qureshi (Expert) 07 November 2013
no, police have no role in this regards legally, this is a civil matter till the cheque bouncing, if the PDC has bounce then he can file a criminal complaint against you after given a 15 days notice to you.
no need to worry,
feel free to call

ROBERT MATHEWS (Querist) 07 November 2013
Dear Nadeemji,
Thanks. Are you in pune? CAN I CALL YOU?

The main issue in all this is that I am out of pune from 12th oct.

I am not reachable on phone as well.

In my absence, the police have gone to my house several times looking for me.

Also this person whom i have given pdc of 6mths, he was harassing me a lot till 11th oct by sending his wife and police to the house.
So my pune lawyer told me to give a arzee...application to commissioners office on this issue which I did.

I guess the police visiting the house are due to this application. IS IT SO???

i have communicate with the party thru email and have told that i am still trying to arrange for early payment of funds.

They have not replied to this as yet.

Now my question is that WILL THE POLICE BE LOOKING FOR ME REGULARY UNTIL I GO BACK TO HOUSE???

Someone told me that he may have not lodged an FIR but the police will arrest me first in case of 420 or any other case and then register ther fir.

Please let me know what time can i call you and discuss this issue in length.

THANKS

Rajat Bindal 09917149977 (Expert) 07 November 2013
No police cannot arrest you in given circumstances.There is also a provision in law that police will not arrest anyone on an FIR of an offence punishable with 7 years imprisonment without assigning any reason in writing. There is no fraud, no cheating, in this case. Delayed payment, if any, can be compensated by interest and damages, so no criminal offence. However, the bank has right to inspect the transactions of your account and may seek justification of it.

Sudhir Kumar, Advocate (Expert) 07 November 2013
you have earlier hidden the fact which you are disclosing now:-

"i have communicate with the party thru email and have told that i am still trying to arrange for early payment of funds."

You have changed the terms of contract by such agreement. Now a civil suit can be filed without waiting for date when PDC is due.

Police still has no role per-se.

BUT BUT BUT

if he can prove that based on your promise to pay immediately he has done something or abstained form doing something this a sharp lawyer can prove 420.

V R SHROFF (Expert) 07 November 2013
It is CIVIL MATTER, and Police action shall be ultra-vires.

ROBERT MATHEWS (Querist) 07 November 2013
Dear Shroffji,
what is meaning of ultra-vires/

ROBERT MATHEWS (Querist) 07 November 2013
Dear Sirs,

A)I believe if a civil suit is filed, the recovery can take very long rite?
Like 5-6yrs???

B)PLEASE ADVISE IF I SHOULD JUST EMAIL HIM THAT I AM UNABLE TO ARRANGE FUNDS EARLIER THAN 6MTHS AND THE AGREEMENT OF 6MTHS IF FINAL..... WILL THAT CLOSE THE MATTER AT IT?

WILL I BE FREE FROM POLICE FEAR???

C) What is the procedure of declaring bankruptcy for proprietory concern in pune???

D) He has assigned a person at police station to keep in touch with my brother on payment status.
Basically the police are waiting for me to make payment else they will register complain or FIR???/ They are telling my brother that if i am not ready to meet them and sort out the full payment, they will register case of 420,498,etc etc.

Please advise

ROBERT MATHEWS (Querist) 07 November 2013
VERY VERY URGENT ISSUE
=========================
a)I am in lucknow right now for medical treatment. my brother told me that the party told him that he has informed police in lucknow to find me because i am not in touch with the party on phone!!!!

IS THAT POSSIBLE?

b) WHAT SHOULD I DO IN THIS CASE IF THE CID ARE LOOKING FOR ME AND ARREST ME SUDDENLY?
One lawyer told me that in this case, they will arrest first, take me to pune and then register fir.

Kindly I humbly beg you to clarify this very important issue as I am with my two small kids 4 and 7yrs and wife and am doing asthma treatment.

THANKS

V R SHROFF (Expert) 07 November 2013
ultra-vires+ Any Act not within his authority or power.

Id Policeman does any job, that he otherwise not i in his duty to do, anmd axct on his own, against the law/ authority/ power is terms uv in law.
Dictionary may explain u better.

Surrender K Singal (Expert) 07 November 2013
You may be spoiling your own case by promosing per emails which can be taken cognizance of as if you had initially agreed for immediate payment but later issued PDC for 6 months ??

Sudhir Kumar, Advocate (Expert) 08 November 2013
How many times you will be told that police has no role in loan recovery unless ordered by court.

ROBERT MATHEWS (Querist) 08 November 2013
Dear Sudhirji,
Thanks.. Well understood.

Okay the police has no role in loan recovery case but if the party lodges 420case against me as I am not in the city, then police can look out for me in pune and lucknow right??? and then arrest me?

Please just clarify this issue.

And in this case, can i take anticipatory bail in advance of arrest ??

THX

ROBERT MATHEWS (Querist) 08 November 2013
PLEASE CLARIFY IN ABOVE CASE IF POLICE CAN BE SEARCHING ME IN LUCKNOW AS WELL??

MY BROTHER CHECKED AND NO COMPLAINT HAS BEEN LODGED SO FAR IN PUNE.

BUT SOME TWO MEN IN CIVIL CLOTHES HAD COME TO ASK MY BROTHER IN LAW ABOUT ONE MR ROBERT MATHEWS FROM PUNE .. IF MY BROTHER IN LAW KNEW HIM STAYING IN THAT BUILDING?

I DONT KNOW HOW THEY GOT MY BROTHER IN LAWS ADDRESS BUT MAY BE GENERAL ENQUIRY IN ALL AREAS OF LUCKNOW...

BASICALLY, IS THIS POSSIBLE?
IF YES, IN WHAT CASES???

ROBERT MATHEWS (Querist) 08 November 2013
ADDITIONAL ISSUE....

IF I AM NOT IN PUNE AND THE POLICE VISIT MY HOUSE, CAN THEY TAKE MY WIFE TO POLICE STATION FOR INVESTISGATIONS??

MY WIFE WAS NEVER PART OF MY BUSINESS,

WHAT SHOULD BE DONE IN THIS CASE????

Sudhir Kumar, Advocate (Expert) 08 November 2013
ARE YOU TESTING

How many times you will be told that police has no role in loan recovery unless ordered by court.

ROBERT MATHEWS (Querist) 09 November 2013
Thanks sir... just that i am so worried about this issue

ROBERT MATHEWS (Querist) 13 November 2013
Good day!
I have made cash payment to the above party of 82500 by cash deposit into his account.

i have sent deposit slip but he is not acknowledging receipt by return email.

what should i do? i dont know if he has already filed an FIR as I am in lucknow.

if he has filed and i dont know, what is the next step????

KINDLY ADVISE

V R SHROFF (Expert) 17 November 2013
no police complain: so cannot take any arrest / steps.
u r hiding real facts , that worry you.

CIVIL MATTER, DO NOT ATTRACT ANY POLICE ACTION.
u can issue notice to police , pune, that being civil matter, and xyz complainant shd be taken only after investigation, confirming criminal act, not civil..

& BYE..

ROBERT MATHEWS (Querist) 17 November 2013
Dear Sir,
THANKS.

a)If 420 case is registered, is it bailable?

b)Secondly, if someone had stood sureity as a bail and if we need to change the sureity, is it risky??

Surrender K Singal (Expert) 17 November 2013
What could be the basis or document from accused for registering any case u/s 420 ?

Civil matter can not be allowed to be dragged under CrPC / IPC -- there are numerous citations, even from SC;

ROBERT MATHEWS (Querist) 17 November 2013
Dear Sir,

Since i am out of pune, one of the clients to whom i had issued a cheque of rs39000 had returned. i had assured him of payment by 30th nov, but below is the email he has sent me.....PLEAS ADVISE WHAT SHOULD I DO AS I AM STILL OUT OF PUNE TILL END OF NOVEMBER,.

"" I totally understand that ur not in the best of situations healthwise and financially too.
But it's been to long and I have been to patient also with u, but because of ur unprofessional behavior I have sent u a notice through the court on ur address and also to ur father.
Since u have left ur apartment house the notice is going to get sent back to the court by which an arrest warrant on ur name will be issued."""

PLEASE ADVISE SINCE I HAVE NOT RECEIVED THE NOTICE, WHAT WILL HAPPEN??

ROBERT MATHEWS (Querist) 18 November 2013
Dear Sir,

Since i am out of pune, one of the clients to whom i had issued a cheque of rs39000 had returned. i had assured him of payment by 30th nov, but below is the email he has sent me.....PLEAS ADVISE WHAT SHOULD I DO AS I AM STILL OUT OF PUNE TILL END OF NOVEMBER,.

"" I totally understand that ur not in the best of situations healthwise and financially too.
But it's been to long and I have been to patient also with u, but because of ur unprofessional behavior I have sent u a notice through the court on ur address and also to ur father.
Since u have left ur apartment house the notice is going to get sent back to the court by which an arrest warrant on ur name will be issued."""

PLEASE ADVISE SINCE I HAVE NOT RECEIVED THE NOTICE, WHAT WILL HAPPEN??

V R SHROFF (Expert) 18 November 2013
IT SEEMS YOU R TESTING :

FROM where Bail came,u asked "if someone had stood sureity as a bail and if we need to change the sureity, is it risky"

ROBERT MATHEWS (Querist) 18 November 2013
Dear Sir,

The bail issue was for a friend of mine...
I was just trying to get assistance from yourside.

My issue was only regarding below:::

Since i am out of pune, one of the clients to whom i had issued a cheque of rs39000 had returned. i had assured him of payment by 30th nov, but below is the email he has sent me.....PLEAS ADVISE WHAT SHOULD I DO AS I AM STILL OUT OF PUNE TILL END OF NOVEMBER,.

"" I totally understand that ur not in the best of situations healthwise and financially too.
But it's been to long and I have been to patient also with u, but because of ur unprofessional behavior I have sent u a notice through the court on ur address and also to ur father.
Since u have left ur apartment house the notice is going to get sent back to the court by which an arrest warrant on ur name will be issued."""

PLEASE REPLY TO MY ISSUE. WILL BE VERY GRATEFUL....

ROBERT MATHEWS (Querist) 19 November 2013
Dear Sir,

The bail issue was for a friend of mine...
I was just trying to get assistance from yourside.

My issue was only regarding below:::

Since i am out of pune, one of the clients to whom i had issued a cheque of rs39000 had returned. i had assured him of payment by 30th nov, but below is the email he has sent me.....PLEAS ADVISE WHAT SHOULD I DO AS I AM STILL OUT OF PUNE TILL END OF NOVEMBER,.

"" I totally understand that ur not in the best of situations healthwise and financially too.
But it's been to long and I have been to patient also with u, but because of ur unprofessional behavior I have sent u a notice through the court on ur address and also to ur father.
Since u have left ur apartment house the notice is going to get sent back to the court by which an arrest warrant on ur name will be issued."""

PLEASE REPLY TO MY ISSUE. WILL BE VERY GRATEFUL....

Surrender K Singal (Expert) 21 November 2013
Court summons (notice) could be after filing of case U/138 N I Act for which prior notice for payment within 15 days had to be sent by the payee of your cheque ?

ROBERT MATHEWS (Querist) 21 November 2013
thanks. the summons are sent after how long?
suppose notice has been received and payment has not been made, then summons are sent after how long

Surrender K Singal (Expert) 23 November 2013
Case under 138 can be filed within 30 days of notice period (15 days) and Magistrate can issue summons thereafter as may be ordered by the Magistrate on finding prima facie case against the Payer of cheque

ROBERT MATHEWS (Querist) 25 November 2013
Please clarify the following:

a) If party not available ( traveled out of station and office is closed)to receive notice , then what happens?

b) Summons are issued after how long after notice is sent?????

ajay sethi (Expert) 25 November 2013
fresh service will have to be done by complainant .

only after complaint is filed , verification done after perusal of original documents will court direct issue of summons . may take around 3 months

ROBERT MATHEWS (Querist) 25 November 2013
Dear Ajayji,
A)Meaning of fresh service means new notice has to be sent again... AM I RIGHT?
Which means again 15days time will be given for payment.

B) How many summons are sent and after what is the time gap between each?>

C) AFTER HOW MANY SUMMONS WILL ARREST WARRANT BE ISSUED?

d) WHAT EXACTLY MEANS ARREST WARRANT MEAN?

DOES IT MEAN IT WILL BE ADVERTISED IN NEWSPAPERS ETC ETC ????

ajay sethi (Expert) 25 November 2013
Supreme Court in the State of Madhya Pradesh vs. Hiralal & Ors., JT 1996 (1) S.C. 669, where, postal remarks to the effect "not available in the house," "House Locked" and "shop closed", were held to be service of notice upon the respondent.

better contact a local lawyer and fight case on merits . court may issue warrant even if you dont attend on first date after issue of summons .

ROBERT MATHEWS (Querist) 25 November 2013
THANKS AJAYJI,.

WHAT HAPPENS AFTER THE WARRANT IS ISSUED???

PLEASE CAN YOU BRIEF ME THE WHOLE ISSUE RIGHT UPTO THE CASE IS CLOSED FOR NI138????

ajay sethi (Expert) 25 November 2013
read CR PC . it is quite informative

ROBERT MATHEWS (Querist) 25 November 2013
sir,
what is CRPC??? WHERE DO I GET IT

ROBERT MATHEWS (Querist) 26 November 2013
SIR,
my business is proprietorship and only I am handling it.
but my client whom i am owing are sending derogatory email to me adding my wifes name and calling both of us criminals ,cheats and various other names.

i dont understand y they are involving my wifes name.

please advise what legal action can be taken against this as my wife is not legally part of any business dealings.

i am very agitated and want to immediately take legal action against this issue.

kindly reply asap

ajay sethi (Expert) 26 November 2013
reply to emails . deny the contents . contact a local lawyer

ROBERT MATHEWS (Querist) 26 November 2013
what is meaning of consumer forum?

Surrender K Singal (Expert) 27 November 2013
Code of Criminal Procedure (CrPC)

Outstanding payment

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