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Kamalakkannan (MD)     12 November 2015

Private loans

I am Running a Mobile Showroom in chennai due to my Business Expansion i borrow amount from Private Financiers in very high Intrest . Past 30 Days i was hospitialised , Now the Financiers are giving so much Pruser to settle the Amount . Now i have debts Near 85 Lakhs. I can repay the Amount in durations but they are not allowing me even to think. They have Blank Cheques ,Empty Pronotes. 

Eg. if a Financier Giving me 10L they take 2 L as intrest Weekly I repay them 2L for 5 Weeks.

They are theatning me they will bounce my cheque in diffrent place with diffrent names and take Legal Acttions. I am not saying i can't pay i ask 4 to 6 Months time to repay the amount. 

Kindly Advise me what i have to do Next.



 9 Replies

kavksatyanarayana (subregistrar/supdt.(retired))     12 November 2015

immediate consult a local experienced lawyer to file a case in a court of law to protect yourself.

1 Like

Kumar Doab (FIN)     12 November 2015

Consult an able counsel ASAP.
1 Like

dr g balakrishnan (advocate/counsel supreme court)     12 November 2015

your blank cheques are dated if so the checks after 3 months from the date of issue is not valid.

if not they might put date and file cases.

you have to contend that they forcibly had taken cheques by forcing you to put signature on the cheque leaves, that forcing can be construed as actus rea and mens rea of the lenders to cause undue threat on you.

then they cannot proceed on you under sec 138 r/w 142 of negotiable instruments Act 1881.

they might move  against you by a civil action that is indeed a long drwan fight.


you have to make a say in your petitions that they had taken payments of  interests by deducting from their initial lending m ight be you might have issued sheques if so, usurious interest law might be applied.that means fight would be longer.


in  the mean you could generate funds and pay the basic loan amount to court against each of the lenders. so your genuine interest to pay you might prove to the court, court would not allow you to pay more than permissible interest that would mean your initial payments at the time you took loan would also get accounted.


so if the lenders move against you they would be losers.   


that way you issue the legal notices to lenders. see their reaction 


1 Like

Kamalakkannan (MD)     12 November 2015

Thanks For your Replay Sir. Is there any need to make Police complient ,here police refused to take my request.My intention is not cheating them.I need time I ready to pay late payment intrest also.Kindly refer Lawyers in chennai sir whome I contact fur there.

adv.raghavan (Advocate,9444674980)     13 November 2015

Options are open for lenders. We cannot expect  they will act in this particular way. It is better to file bare suit , in civil court, restraining lenders from using  force in collection of dues. To some extent it may bring reprieve to you. Issue will attain finality, only on settlement of entire dues.

1 Like


Though a good suggestion by Adv Balakrishnan,I differ with it because the private money lenders have their own way of proceeding against the borrowers.85 L is not a small amount obtained from a private money lender.

Dear Querist, how many cheques have U given them? 

1 Like

Kamalakkannan (MD)     13 November 2015

Sir I took Loan from 5 Diffrent Lenders. Each one Holding 15 Cheques in that 10 Cheques are Filled with date and Amount , Remaining 5 Are Open Cheques.

They are having strong Political Background and Police Power , I am requesting them to give time and also i argee to pay that 20% Intrest for the Duration which is extended .Examle i supose to pay in 5 weeks ,now i am asking another 4 Months time.  They force me to repay 2L per week to close the dues , My current situvation i can't arrange 10L per week.

I don't have their Proper Address to file any thing . That Money Lenders don't share any of their details. They came to office and gave money to my account via Netbanking based on my business Profile.

Is there any way to get any Leagal Protection for my business by commiting My Self in court that i have this much Debts i need time to repay. 

I approached one lawyer in my place he advice me to give somthing called Yellow Notice. I'm not willing to give I.P. even i dosen't know what it means.

Some Lenders taking Mobiles Laptops without cast they make me suffer in my day to day business.

Kindly Advicse .



They force to pat 2L per week/U can't arrange 10L per week/clarify

Kamalakkannan (MD)     13 January 2016

Money Lender 1

I have to pay 6L. He is demanding 25000 per week as intreset until i settle the Amount.

Money Lender 2

I have to pay 6L. Asking 50000 by weekly.

Money Lender 3

I have to Pay 6 L. Asking Full settlement Immediate or he take all stocks from my Showroom.


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