• Security cheque misuse

Hello i am from mumbai .In 2016 and 2017 a friend of mine gave me 8 lakhs(4 lakhs by online transfer and 4 lakh by cash)to use it in stock market and make profit and he took cheque from me for his security purpose of 12 lakhs from me (including interest)but with no date written in cheque and i trusted him and gave the cheque ,he told me he will not misuse it and not fill the date and deposit it until and unless i say him,but i lost the money in stock market and i said him that i lost the money and give me sometime and i will return your principle amount slowly.i gave him 4 lakhs through online transfer in a year but then he comes to my home and abuse me in front of everyone and make stories tht he have taken the amount from private lenders to give me and he want principle amount with high interest to pay them and then he will deposit my cheque and file a case against me of 12 lakhs cheque bounce which also includes interest which he never gave me,so i gave a NC against him of mental harassment and blackmailing me against security cheque to my local police station and also i did stop payment of the cheque from my bank.now police have gave him warning that not to go my home so he have stop coming but he have fill the date and deposited my cheque which is obviously in remark he get stop payment done by drawee and from few sources i got to know he is now planing to take legal action against me so my quetion is
1)can he prove in the court that he have given me 12 lakh as principle amount (4 lakhs by online transfer and 8 lakhs by cash) only on the basis of the cheque he have from me ?
2)If i also go against him legally what are my chances to win the case?
3)how much time does it takes in mumbai to get the final judgement from court.
4)If he filed a case against me of cheque bounce under NI act 138 and also fraud and cheating case then will i be get arrested and will i get bail easily or i have to be in jail till the court gives final judgement?
5)if he bring some fake people in court and they say that they have given me amount in cash,will it be admissible in court and how could i counterattack them.
6)we have never made any agreement or promissory note of amount and interest so will it possible for him to prove in court that he gave me cash on the basis of a cheque.

Please note. i have never gave him any agreement and promissory note about any interest and deal between us,everything was verbal.
Asked 4 years ago in Civil Law

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17 Answers

1. Only on the basis of the cheque the same can not be proved.

2. You have good chances, as by giving you money for stock market he was also aware about the risk.

3. In 138 cases, the matter is decided in 6 months

4. You will not get arrested, do not worry. Also, as soon as you receive a notice for the 138 case, immediately tender a reply for the same.

5. You can counter attack them during cross examination, so do not worry.

6. It will be a weal case, the case is just strong because he has the cheque. You will have to just prove that the same has not been issued against any liability.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

1) there is no evidence of cash payment of Rs 8 lakhs in to your account

2) if any legal notice is issued deny your liability to pay him Rs 12 lakhs

3) cheque bouncing cases take 5 years to be disposed of

4) you would get bail in section 138 NI case

5)your lawyer will cross examine the witnesses who say that Rs 8 lakhs cash was given in their presence

Ajay Sethi
Advocate, Mumbai
87894 Answers
6207 Consultations

5.0 on 5.0

Dear Client,

Towards returned amount of 4 lacs, u have proof though NEFT, So if he has mentioned in the complaint that no money return than on this basis his malafied, his complain liable to be dismissed.

He also have to prove source of income from where he has given u money.

1)can he prove in the court that he have given me 12 lakh as principle amount (4 lakhs by online transfer and 8 lakhs by cash) only on the basis of the cheque he have from me ? ---- He has to prove from where he has paid 12 lacs.

2)If i also go against him legally what are my chances to win the case? --- 50 - 50

3)how much time does it takes in mumbai to get the final judgement from court. -- in cheque bounce case, 2 to 3 years at least.

4)If he filed a case against me of cheque bounce under NI act 138 and also fraud and cheating case then will i be get arrested and will i get bail easily or i have to be in jail till the court gives final judgement? ---Bail will grant.

5)if he bring some fake people in court and they say that they have given me amount in cash,will it be admissible in court and how could i counterattack them. -- still he have to prove from where he brought 12 lacs. Source of income.

6)we have never made any agreement or promissory note of amount and interest so will it possible for him to prove in court that he gave me cash on the basis of a cheque. -0 --- there is a presumption in favor of complainant, and onus on you to prove that no such amount given by him.

Yogendra Singh Rajawat
Advocate, Jaipur
21481 Answers
31 Consultations

4.4 on 5.0

Dear,

First of all file a fir of missing or theft of cheque, mentioning that cheque number.

How can he proved that, why he gives you the money.

I m sure that he don't want to disclose his income source, because this is huge amount and court should

ask about his income source.

He can proved only 4 lacs, you already paid to him.

If police arrested you, you will easily get bail,because it's bailable offence.

It will take minimum 3 to 5 years to decide this case.

Tarun Agarwal
Advocate, Jaipur
769 Answers
3 Consultations

4.9 on 5.0

He can file case only under section 138 NI act before that he's bound to serve legal notice calling upon you to make payment. He has to prove he has sufficient income to give you 12 lakh rupees loan and that he was having capacity to give you such huge amount.

Since you have filed complaint with police against him you can use it as defence If he files criminal case under 138 NI Act.

Time depends on which court he files a case.

Swarnarka Chowdhury
Advocate, Mysore
1878 Answers
5 Consultations

5.0 on 5.0

Hi, As per law once the cheque is issued it is for consideration and you have to disprove the same that cheque in question is not issued for consideration and it has issued for security purpose and if you able to prove the case then you will win the case.

Pradeep Bharathipura
Advocate, Bangalore
5394 Answers
310 Consultations

4.5 on 5.0

1. No basis of cheque he cannot prove he has to show transiction that there was a debt your there was some agreement between you , you can deny 8 lakh cash and 4 already paid to once he issues notice deny all allegation and make a good case that he has obtained amcheques for some transiction which was later denied you paid 4.akh back now he is missing your instrument. Also he has to show from where he gave you money if he claims to be have given 8 lakh in cash.

2. You have equal chances him as to succed if handled properly.

Or at least the case will frustrate him that he arrives at settlement of amount he really owves outside court. That compromise will be better you wi get time and return amount.whst he really owves.

3. Ni complaint generally take 2-3 years or more.

4. You will get bail.

5. From where he has given source ,transition and how he has given in what capacity as loan or under agreement. Your lawyer in cross examination can dispute there crdeibility.

6. See he already holds the instrument so balance is in his favour you have to dispute the fact that amount was not given.

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

You will get time to contest the case. You can file all evidence you have in the said case. You can rebut the same in cross examination.

Prashant Nayak
Advocate, Mumbai
27224 Answers
88 Consultations

4.4 on 5.0

1. Let him come out with his reason while filing the cheque bounce case. Since you have already given stop payment instructions and also there is a police complaint in this regard and everywhere you have mentioned that you have given a blank cheque for the purpose of security, you can very well take shelter under this if that was a blank cheque and he manipulated the same for his convenience and for wrongful gains.

You can secure the evidence for repayment done through online to a sum of Rs. 4 lakhs towards repayment

2.What is the legal case are you trying to initiate against him, no case rffrom your side is maintainable in this regard.

3. It is unpredictable.

4. You can obtain bail and attend the trial being enlarged on bail till the end.

5. It depends on how they prove and how your lawyer breaks the fke witnesses.

6. If he has evidence to prove the money transaction, that will be a cause of concern to you while defending your case.

T Kalaiselvan
Advocate, Vellore
78048 Answers
1543 Consultations

5.0 on 5.0

Hello,

Please note that a mere statement does not amount to proof without any document.

So he has to show documents for each claim he will make in the court.

Hope this helps.

Regards

Swarupananda Neogi
Advocate, Kolkata
2941 Answers
6 Consultations

4.7 on 5.0

If he says that it was not his money then there is no legally liable debt.

He cannot borrow money on low interest to lend the same on higher interest to a third party, it is money lending business, for which he needs to have license.

Therefore he cannot take shelter on such issue because it cannot be said to legal hence it is not a legally liable debt, therefor the cheque bounce case may not sustain and the accused may be acquitted.

T Kalaiselvan
Advocate, Vellore
78048 Answers
1543 Consultations

5.0 on 5.0

See lending money on interest without license is invalid and cannot be recovered through 138 NI act court clear decision is there so he cannot contend he gave you money on interest.

So he cannot have this defence as without money lender license no body can give loan with interest.

So there is easy counter If he makes such case.

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

1) testimony of lenders would be necessary to prove that Rs 12 lakhs was given to your friend

2) loan should be duly reflected in your friends books of accounts

Ajay Sethi
Advocate, Mumbai
87894 Answers
6207 Consultations

5.0 on 5.0

By saying that false statements are being given and he be put to strict prove to prove the same.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

Even if he states he has taken loan from others he need to bring those people as witness and your advocate will ask them about their source of income and on what basis did they advance such huge amount of loan to.this person. Since this party should have enough source to repay if he has taken loan.

Secondly your lawyer should also counter him asking.whether he file IT returns and did he mention about he giving.You loan or availing loan from others.

Swarnarka Chowdhury
Advocate, Mysore
1878 Answers
5 Consultations

5.0 on 5.0

It is not easy he needs to prove all the transactions with all such people in court. He can't just say and relax. Yiu can demand all documents and evidence of taking loans etc from different persons

Prashant Nayak
Advocate, Mumbai
27224 Answers
88 Consultations

4.4 on 5.0

Without lending license, giving money on interest is permissible and out of the ambit of legally enforceable debt, case u/s138 NI Act, itself fails and not maintainable.

And, Source of income from where ever he took , need to be proved.

Yogendra Singh Rajawat
Advocate, Jaipur
21481 Answers
31 Consultations

4.4 on 5.0

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