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Md Altamash   22 September 2023

Seeking guidance for loan settlement case (cheque bounce)

Hi everyone,

In 2004, my father took a loan of 32,000 rupees from the Bihar State Minorities Financial Corporation (BSMFC). He used to repay the loan through monthly EMIs via cheques.

During that time, one of my father's friends suggested that the loan would be forgiven if we closed the bank account. Regrettably, my father followed this advice, and as a result, the check bounced.

In 2011, a case was filed against my father. But we had no idea about it because we never received any notices at home. Now, we've just found out that there's a case against my father.

The first hearing on this matter occurred in 2018, and again, we were unaware of it as no notices were delivered to us. The next hearing is scheduled for October 2023.

The total amount now has to be paid with interest is 1,50,000.

How can we settle this? Please guide us.

I'll be grateful for your assistance.


 9 Replies

T. Kalaiselvan, Advocate (Advocate)     23 September 2023

You have to apper before court and take time to settle the amount..

There is no way that you can claim innocence anymore.

Please note that you have rush to court with your advocate before the things take a bad shape against you


Dr. J C Vashista (Advocate and Legal Consultant)     23 September 2023

A loan stated to have been availed in 2004, cheque bounced in 2011, complaint filed in 2018, whereas, no notice of the case in 2023 ????


However, if it is so, contact, consult and engage a local lawyer for inspection of judicial file, proper advise and necessary proceeding if there is some truth in the story, which is otherwise, fabricated.  

Sudhir Kumar, Advocate (Advocate)     30 September 2023

The things do not appear to be assmooth as presented by you.


criminal case is not filed by institutions on drop of hat.  Some reminders may have taken place.


Please schekc facts.


To kknow the gravity fo case, first of all ascertain what is the case.


for criminal case under section 138 of NI Act it is essential tha tnotice be uissued.


for criminal case of cheating no such notice is reuired (which is mor esevere being congnisable and non-bailable)

In any case loan has to be paid in full now.

MPS RAMANI   01 October 2023

There are two aspects of the case here. One is the check- bouncing case under NI:138 The other is loan repayment. The first one is a criminal case and the second a civil case. A case under NI-138 would be valid only if all the other requirements have been followed, not otherwise. From the statements made by you, it appears that NI-138 is no more valid. It is now only a civil case for the recovery Rs.1,50,000/-. You can try to get the amount reduced. Or just pay up the amount.

Dr. J C Vashista (Advocate and Legal Consultant)     03 October 2023


Even for institution of civil (recovery) suit whether provisions of Limitation Act, 1963 can be ignored / over-ruled.?

T. Kalaiselvan, Advocate (Advocate)     04 October 2023

The author is not knowing the facts of the case, he is giving vague figures and details, hence there is no point in explaning him about the limitaiton issues, because he is not knowing anything about the case of his father.

Let him revert with details and clarifications to render him more legal assistance

Dr. J C Vashista (Advocate and Legal Consultant)     04 October 2023

Prima facie it is a moot court or time pass topic without head and tail of the issue.

Sudhir Kumar, Advocate (Advocate)     23 October 2023

the queru=ist has not come with reply to any question raised by any expert.

P. Venu (Advocate)     23 October 2023

"In 2011, a case was filed against my father"

In which Court? What is the case No.?

Is it a civil case or a criminal case under Section 138 of Negotiable Instruments Act?

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