Hi everyone, I need help regarding the false cheque bounce case.
My brother borrowed 40,000 (forty thousand rupees) from lender in our local town for 4% interest in 2007. No agreement or promisery was done, only 1 blank cheque was received by lender for secuirty (only sign was done on cheque). As per agreement we paid interest without due every month and we paid back the amount in 2008. When we asked the lender to return blank cheque, he said it lost due to relocation of his house and said nothing harm will be done by him. We also agreed as he was long friend of our uncle.
Due to some medical emergencies, we again borrowed 50,000 (fifty thousand rupees) from same lender in 2009. He asked for the another blank cheque saying the old one not found. My brother issued cheque with only amount written on it. We paid interest without due for 3 years. From last 5 months we said we will not pay interest but will settle the amount in installment due to financial problems. lender didn't agree to that.
Now he bounced the two cheque for 2.00,000 (two lakh rupees). Interesting is now he bounced the lost cheque for 1,50,000 + new cheque 50000. He sent notice saying that we took two lakh rupees for 2% interest and issued same cheque to payback the amount. Now its bounced and we have to pay within 15 days or he will put case on my brother.
Please help me to take next steps.
1st cheque was issued in 2007 with onyl sign on it. ( he wrote date, amount , name and bounced 15 days back)
2nd cheque was issued in 2009 with amount denomintion and sign ( bounced after 5 days depositing 1st check)
We have issued many cheques to other peoples after the above two mentioned cheques and all are passed.