Threaten of cheque bounce
RC Gayatri
(Querist) 17 January 2013
This query is : Resolved
Hi Sir,
I borrowed some money from a person for interest. I deposited a cheque with him for that as security. after some days I told to that person that I cannot pay the interest as my financial situation is not great as of now and I will clear only the principal. Other person agreed for that. I have cleared principal amount by a cheque. But could not collect my old cheque deposited with him earlier .
Now the other person is threatening me to file a cheque bounce case against me if I dont pay him the interest part.
Can you please suggest me how to handle this. I cannot pay him the interest part. Please suggest me the best.
Daksh
(Expert) 17 January 2013
Mr.Sekharm Rao,
It is evident from your query under reply that there is no written agreement and whatever principle money loaned by you stands paid. For realizing interest how can he file a cheque bouncing case. What you can do is that you put him to notice narrating the correct factual matrix or even otherwise for filing a complaint he needs to give you a notice in reply whereof you can state the factual matrix in reply thereof. Before filing of the case if you notify the other party in writing and or put him to notice the same shall be useful at the time of trial in your favour for the reason that the cheque given as a security cannot be used as the principle money stands paid by you which fact can be evidenced by the proof of payment by you. I hope this clarifies
Thanks and best regards
Daksh
RC Gayatri
(Querist) 17 January 2013
Hi Daksh Sir,
Can we do anything to stop him filing the case. Because I am told that cheque bounce will come under NI act. I dont want to attend court , provide sureties and all. Is there any way which we can do legally to stop the other person filing case on us. I have paid him the amount through cheque to him. Will it not serve the purpose ? will it not help us in stopping him filing the case ?
Sudhir Kumar, Advocate
(Expert) 17 January 2013
If you can prove that you owe him nothing then no NI case can be made or else it will be.
AAK
(Expert) 18 January 2013
you have to contest the case. He has the cheque with him and he has every opportunity to file case against you irrespective of winning or losing it. If he files it you can contest it in two ways firstly if the court issuess the process you can approach high court for quashing the process and secondly you can strait way appear before the trial court and contest the case. If you approach High court and if the High court stays the process you need not have to attend the court.
