• Taken money from unlicensed money lender

Hello sir
I have taken 26 lakh rupees from my landlord for my business for 6 months. He has given me that money by borrowing from bank. I am monthly paying the monthly bank emi to him.
At the time of lending money he has made an agreement on a stamp paper that i will repay the entire 26lakh on 30th September 2017. And if i fails to return his money he will take legal action towards me and will take my company.
And also he has mentioned in that agreement that i have to buy his land of 35 lakh. At that time due to need of money i signed the stamp paper
Now the problem is i am suffering from financial issues. I cannot pay his loan now. I need 1 year of grace period to pay his entire amount back.i requested him but he is threatening me by saying he will file a police complain and he is harassing me to give him 35 lakh too (of the land which i dont want to purchase)
I am very frightened now. I am just 24 year girl living with my sister. He shout on both of us.
Asked 7 years ago in Civil Law

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7 Answers

1) it is necessary to peruse agreement signed by you to advice

2) record his threats and file police complaint of criminal intimidation under section 506 of IPC against him

3) you cannot be forced to purchase his land for Rs 35 lakhs when loan taken was for Rs 26 lakhs only

4) express your inability in writing to purchase land for Rs 35 lakhs and seek time to pay Rs 26 lakhs

5) let him file suit to recover the money

Ajay Sethi
Advocate, Mumbai
96809 Answers
7811 Consultations

1.Do not worry as failure of make payment in agreed time does not entail any criminal action and hence no criminal case can be filed merely on breach of term of this agreement.

2.However she can file civil suit for recovery of money.

3.Moreover he cannot grab your company either.

So do not get afraid and try to repay as soon as possible.

Devajyoti Barman
Advocate, Kolkata
23198 Answers
511 Consultations

1. The maximum he may do is file a civil suit for specific performance of the agreement to sell, which you can contest on merits. This apart, he can file a suit for recovery of money if you do not repay his loan within the stipulated time period. Once a contract is executed it brings into inception liabilities which are to be discharged, and if default is committed by either party to contract, the aggrieved party can always seek its remedies before the competent court.

2. These days most of the contractual disputes where one party fails to repay the loan are given a criminal colour whereby the FIR under section 420 and 406 IPC gets registered for the offences of cheating and criminal breach of trust. So if and when a FIR gets lodged then apply for anticipatory bail immediately to preempt your arrest,

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

1) you can lodge FIR against moneylender under section 506 of IPC for criminal intimidation

2) money lender can also lodge FIR against you for cheating and criminal breach of trust

Ajay Sethi
Advocate, Mumbai
96809 Answers
7811 Consultations

No FIR is permissible on the breach of agreement and even if it is done the same would not be of much serousness.So emove the fear of FIR.

Devajyoti Barman
Advocate, Kolkata
23198 Answers
511 Consultations

If he is threatening you can rush to police seeking protection.

If he has any claim then he can adopt due process of law instead of adopting such illegal measures

Have you entered into any sale agreement to purchase his house property, if not then don't be worried about it, ask him to proceed legally which you can challenge in the court.

For returning his loan advanced amount, it would be safe for you only if he approaches court for recovery.

You will get time to repay during the stretched legal battle.

T Kalaiselvan
Advocate, Vellore
87009 Answers
2335 Consultations

He may lodge a criminal complaint against you for cheating offence.

But you inform police that you are ready to settle but you require time.

You may also inform police to advise him to approach court for recovery of money by due process of law since this is a civil matter.

T Kalaiselvan
Advocate, Vellore
87009 Answers
2335 Consultations

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