Directors resposibility US 138 NI ACT

It is easier for any accused of Ni 138 case to come out of it since it is very difficult for the complainant to prove his case but you have to face trial , once court notice is issued no quash is possible even at higher court. , unless you are ready to go up to SC.

PEOPLE LOOSE BECAUSE OF CARELESSNESS FROM BEGGINNING. THEY WASTE INITIAL TIME  IN TAKING DATES ONLY. YOU HAVE TO INITIATE  PROPER  ACTION FROM DAY ONE WITH EXPERT LEGAL ASSISTANCE THEN WINNING THE CASE WILL BE EASY, SIMPLE AND SURE.

So complainant need not be over confident , it will be next to impossible to win any NI 138 case if contested aggressively by accused  from day one since the case has to be proved beyond doubt at many points that is  a) there was legal liability b) cheque was actually given by the accused from his account c)cheque was presented during stipulated time to the bank d) cheque was actually returned due to insufficient funds e) legal notice was given f) such legal notice was received g) thereafter proper pleadings are made and documents attached at first instance while filing the case.

Even if the presumptions are there in NI ACT the accused has legal right to rebut them which is more simple , sure and easy., and complainant  make mistakes on one or more  points/ steps., in over confidence.

If your wife is not the director at the time of cheque return, she can not be impleded as the accused.  File a discharge petition for the wife.

Till such time file S.205 petition for exempting her appearance.

Respected Learned Advocates,

I work in the Press and would like a story to create awareness regarding NI Act and its misuse. I request all of you, kindly give the information asked.

1.      What is the legitimacy of the Private Money Lending Business in India?

2.     Most of the Private Money Lenders demand blank cheques and Promissory notes from the public. Keeping them, is legal? If yes, what sections of IPC. If not legal, what are those sections?

3.     Can any Private Money Lender invoke NI Act, against any individual?

4.     From whom the individual must obtain licence to do Money Lending Business, in Andhra Pradesh?

5.     According to Indian Laws – what is the term ‘Interest’? What are the terms and guidelines to collect the ‘Interest’ from the individual?

6.     Can NI Act be invoked similarly against cheques and Promissory Notes at the same time? What are those sections?

I request you kindly reply here or to my email id: velavartipativachaspati@yahoo.com

Thanking You, Sir

Private Money lending is not a legal business. They take cheques for friendly loans only.

Friendly loans can not be stopped in any civil society.

Regards,

Shonee Kapoor

harassed.by.498a@gmail.com

In Friendly loans, there will not be the collection o interest.

In INdia, the collection of interest must be legally bound.

I think, I am correct.

Dear Sir, 

It is doubtful if provisions of Section 138 attracted to a case in which a blank or post dated cheque is obtained by a bank or money lender before or while sanctioning or disbursing loan amount as security for the loan," the judge said. 

"In this case the accused respondent issued the cheque in question as security for loan before loan amount was disbursed. So, cheque was not towards any existing debt or liability (which is a requirement under section 138)," the High Court observed confirming the order of acquittal..

In mu opinion , no offence is made u/s 138 of NI act if dishonoured cheques were issued as  a security. 

Thanks

 Virendra Garg