Legal Question in Credit and Debt Law in India

I had given the loan to mr.x for his bussines purpose of Rs.350000 almost 2 yrs back. Now, when i asked for my money returnback, He is giving me varios excuses.After consulting a Lawyer, i deposited his cheque in my account, given by him at the time of transaction, as security purpose.His cheque was dishonoured due to insufficiant balance. My lawyer sent him notice. After that, mr.x came to me & promised to pay my money within 2 months & also he issued me fresh cheques, after collecting old cheques. But regret to mention that, after 2 months one of his freshly issued cheque also dishonoured with the same reason as mention above. Now my lawyer advised me to make FIR against him at the police station, as per him this is the best way to recover money. I am confussed whether to go for sec. 138 or sec.420. Kindly advice me.


Asked on 8/13/15, 7:35 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

14.08.2015

Dear Sir / Madam,

:Lodging a Police complaint for cheating and filing a recovery suit for cheque dishonour under Section 138 of the Negotiable Instruments Act, 1938 are advisable and recommended.

Regards,

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Answered on 8/14/15, 3:07 am


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