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Cheque repayment

(Querist) 25 October 2017 This query is : Resolved 
Respected Sir.
I have made payments to one of my friend by way of cash during March 2017 of Rs. 350000 and I was promised that the amount would be returned to me after three months. After three months of time my friend had sort for more time to repay and issued me a cheque of his account for a later date. That date the cheque was presented to the bank and was bounced for want of funds into that account.
Now my question if I have to issue him a legal notice does the amount of above 20000 paid in cash affect my case (if filed)
Or shall it hold good in the court. Kindly enlighten
naveenraj jain (Querist) 25 October 2017
Pls read the Amount of above 200000 (two lakhs) which govt has said any transaction above it shall be invalid... How good it holds in the law
Sudhir Kumar, Advocate (Expert) 26 October 2017
Money given to friends and relatives is always a charity in the garb of loan which is given in expectation of refund but always taken with intention of non-refund.

Such loan is taken by a person:-

(i) Who lacks business sense and cannot raise funds out of his own business and suddenly wants to be rich.

(ii) who cannot raise bank loan because :-

Either
he himself is not creditworthy

Or
the purpose for which he seeks loan is illegal

or
the purpose for which he seeks loan is not at all commercially viable.

(iii) Who knows he can afford not to refund.
(iv) Who trusts his thick skin
(v) Who intends not to refund
(vi) Who has made fortification against action of refund.

So he has to find someone who can part with his money. SO he finds a lender near him (friend or relative)

Such loans are given by the persons :-

(i) Who has surplus money.
(ii) Who displays and boasts of such surplus money.
(iii) Who stupidly believe that there will be a refund.
(iv) Fails to realise as to why he alone (not bank) is being contacted for loan.
(v) Who has extreme trust on the debtor
(vi) who are either stupid or extremely greedy of the unusual (or illegal) rate of interest.

Such loans are always given

(i) Without documentation.
(ii) Without witness
(iii) Without guarantor.
(iv) During cordial relations

Soon after giving such loan :-

(a) Relations are no more remain cordial
(b) Business started by such money (easy money belonging to other) invariably fails.
(c) Such loans always sink and not refunded.
(d) Person seeking such refund suffers at legal process.
(e) Person seeking such refund legally or by persualtion is socially criticised.


naveenraj jain (Querist) 26 October 2017
I do understand whatever u said... But now to come out of the situation I need a remedy... It will be of great help if help is rendered here
Kumar Doab (Expert) 26 October 2017
Aapke vakil sahib ke kya rai hai.
Rajendra K Goyal (Expert) 26 October 2017
You send notice for cheque bounce and file case u/s 138 NI Act.

Also file case for recovery.

Payment in one attempt beyond the threshold amount is restricted.

Discuss in detail with your lawyer.
Dr J C Vashista (Expert) 27 October 2017
Initiate simultaneous proceeding for recovery (civil) as well as under the provisions of Negotiable Instruments Act, 1881 through a local lawyer.
Dr J C Vashista (Expert) 27 October 2017
Did you issue any receipt or provide any evidence qua cash payment of Rs. 2 lakh to your friend (borrower)? If so, it will definitely adversely affect your case(s).


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