Exclusive HOLI Discounts!
Get Courses and Combos at Upto 50% OFF!
Upgrad
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More


(Guest)

Urgent help required :insolvency and cheque bounce

DEAR SIR MY FATHER WAS RUNNING A BUSINESS FOR MANY YEARS AND HAD ALSO TAKEN LOANS FROM VARIOUS PEOPLE MOSTLY IN CASH IN LAKHS OF RUPEES WHICH WAS THEIR BLACK MONEY THEY INVESTED AT INTEREST AND HE HAD ISSUED THEM CHEQUES UNDATED AS SECURITY AND THESE CREDITORS ARE NO WHERE RECORDED IN BOOKS OF ACCOUNTS....NOW WE HAVE SUFFERED HUGE LOSSES SOLD ALL OUR PROPERTY TO CLEAR BANK LOANS AND A FEW CREDITORS...AND DONT HAVE MONEY TO REPAY ALL THE CREDITORS ....NOW HOW CAN WE PROTECT OURSELF AS THEY HAVE CHEQUES WITH THEM.... CAN WE FILE AN INSOLVENCY PETITION.... PLEASE HELP


Learning

 5 Replies

R.Ramachandran (Advocate)     05 January 2018

Your father can definitely explore the possibility of filing insolvency petition.  For filing this petition several conditions need to be satisfied.

Therefore, you have to consult a lawyer with all the details.

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     05 January 2018

An individual can file an insolvency petition if he/she is unable to pay his/her debts on fulfillment of any of the following three conditions:

  • Debts amount to more than Rs.500
  • Individual is under arrest or imprisonment in execution of a money decree
  • There is an subsisting order of attachment against his/her property in execution of such decree

Sudhir Kumar, Advocate (Advocate)     06 January 2018

invlvancy may not help criminal liability for chqeue bounce.

Sudhir Kumar, Advocate (Advocate)     06 January 2018

In addition to  cheque bouncing case the given facts indicate that black money was taken against cheque.  So money laundering was going on.

Rahul kandharkar (Freelance Editor Legal Consultant Author.)     07 May 2018

Undated cheques given as secuity cannot attract the provisions of Sec 138 of N.I. Act, 1881, we can support it with case laws.


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register