• I have been cheated with supplier

My self Venugopal director of Arravelli Futurex pvt ltd I found one customer from dubai for onion export and he told me that he is having  local supplier whose quality is good  from Mumbai and told me to book the onion with advance payment of 3 laks and then he will  import the onion and  with 5 % added profit in invoice. I agreed the deal I transfered the money with taking the invoice from supplier name M/s Seaglinder shipping company and few days later dubai client changed the supplier without intimating me and told the supplier to transfer the money to other supplier M/s Vishal International , after continue chasing for shipment planing then the first supplier Seaglinder shipping company  told me that he had transfered the money to other supplier i.e Vishal international with intimation of dubai client. And now dubai client cancelled the order and told the supplier to return the money to first supplier but the secound supplier not transferring and keep on delaying and not answering the dubai client . Now I am stuck with transaction I am continue asking money to first supplier and dubai client is not giving proper answers and not lifting my call ,so please advice what action can be taken with this local supplier legally.
Asked 2 years ago in Business Law from Miraroad, Maharashtra
1. Was a contract executed between you and the supplier? You should issue a lawyer's notice to the supplier to refund your money as he has been unable to execute his obligations under the contract. If he does not heed the notice then a suit for recovery can be filed against him to recover the money with interest and compensation.

2. A criminal prosecution for breach of trust and cheating can also be launched against him on a criminal complaint.
Ashish Davessar
Advocate, Jaipur
23084 Answers
639 Consultations

5.0 on 5.0

1)your privity of contract is with first supplier

2) purchase order was placed by first supplier

3) advance money   of Rs 3 lakhs was paid to first supplier

4)you have not mentioned whether Rs 3 lakhs was transferred by first supplier with your consent to second supplier

5)if it was done with your consent then first supplier would not be liable if second supplier is not refunding the advance 

6) the terms of contract have to be perused to advice 

7) contact a local lawyer 

Ajay Sethi
Advocate, Mumbai
46601 Answers
2756 Consultations

5.0 on 5.0

there seems to be some fraud involved in the transactions.
The suspicious transaction may be brought to limelight by issuing a legal demand notice to the person to whom you had transferred the fund with a copy endorsed to your Dubai client advising him to instruct the supplier to return the amount which was transferred at his behest. You may warn both the people of legal consequences if you dont get a fruitful result. Subsequently you may initiate a legal recover suit against the first supplier besides lodging a criminal complaint against him for the offences of cheating with the Crime branch police or economic offences wing of police of that jurisdiction.
T Kalaiselvan
Advocate, Vellore
36720 Answers
403 Consultations

5.0 on 5.0

First file a cheating case against Sea Glinder, Vishal and your dubai customer.
Since you have purchased Onions from a local vendor by paying the money and then for the purpose of export got the invoicing done in the name of seaglinder, seaglinder has to pay you money before transferring the consignment to Vishal international. 
You are the defacto owner of goods and no person can transfer title without making payment to you.
Rajgopalan Sripathi
Advocate, Hyderabad
1321 Answers
167 Consultations

5.0 on 5.0

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