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Partnership fraud- can case be filed in bangalore?

(Querist) 14 November 2014 This query is : Resolved 
Hello Experts,

My mother entered into a partnership agreement for purchase and sale of land in Jharkhand with another Individual few years back with an initial investment of Rs 2.25 lacs. The other partner sold the land without my mother’s knowledge and didn’t report the profits, claiming there was no buyer available. Later, this fraud was unearthed and we asked the other partner to give us back capital and profits, which he denied and threatened my Mom with life consequences.
My Mom and Dad, both Sr. citizens and retired were scared; hence we shifted them to Bangalore sometime back. We’ve already filed a police complaint but no action has come up yet.
Few other points to note:
1. There seems to be an error in drafting the partnership deed as it doesn’t have any profit sharing clause. Instead it just has the capital investment amount given to the other accused partner for purchase of land in equal shares.
2. The Partnership deed has not been registered with the Registrar of firms.
I would want to know if I can file a case against the accused partner in Bangalore and if yes, then on which grounds? Also, how do I recover the capital (+Interest) and the profits from accused?

Many thanks.
Devajyoti Barman (Expert) 14 November 2014
1. If it is silent then also there is no wrry as the law will presume the profit sharing to be on equal basis as without sharing of profit no partnership stands.

2. File a suit for dissolution of partnership and rendition of account in civil court. It has to be filed in where the partnership formed and/or other party resides or carries on business. In other words not in Bangalore.
Dr J C Vashista (Expert) 14 November 2014
1. File a criminal complaint before area Magistrate u/s 200 r/w 156 Cr. PC


2. File a declaratory suit

3. engage a local lawyer and proceed
ajay sethi (Expert) 14 November 2014
suit for dissolution of firm has to be filed in Jharkhand
Rajendra K Goyal (Expert) 14 November 2014
Suits have to be filed in JHARKHAND. File dissolution suit.
Akki (Querist) 15 November 2014
Thanks All!
T. Kalaiselvan, Advocate (Expert) 16 November 2014
I agree with the opinion of expert Mr. Barman on the subject issue.


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