Legal Question in Administrative Law in India

My brother, who is currently a jobless took 1 lakh rupee from his friend in June 2009, for which he signed a notary attested paper which explains the amount and the term of two months. Additionally, a cheque of same amount was given to lender for his security. There was some interest amount to be paid however this is not mentioned in the document. Please note that the lender is not a licensed money lender. The amount paid to my brother was in cash.

Later on my brother paid the part payment of 65000 Rs (in cash) but there was neither a new cheque issued nor the new amount contract document (trust in friends was a loop hole). Now when my brother wanted to pay rest of the amount then the lender demanded full 1 Lakh rupees which but ofcourse was denied. Then he purposly presented the cheque to bank and get the insufficient fund denial. He is blackmailing and threatning to an innocent person and recently he sent a legal notice (which is on the way to reach us). Could you please guide what should be our response.

My parents doesnt know this (our is a decent simple living family) and we dont want this legal problems. There are two solutions.

1) To pay once again the full amount. In this situation please tell us what should be the safe gaurds...How should we pay legally in order to get rid of this problem permanently.

2) Fight the case which could be a long journey with an all-time tension on head for whole family.

Also please let us how much time and money we are talking about in case we fight the case.

Regards,


Asked on 12/12/09, 1:36 pm

1 Answer from Attorneys
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

it is advisable to fight the case and the offence u/s 138 is bailable. it would be very difficult for the complainant to prove his case as he is not into money lending business. moreover, your brother can lead evidence regarding payment of Rs. 65000/-. was the amount of Rs. 1 lac paid to your brother, was paid in cash or cheque.

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Answered on 12/13/09, 8:43 am


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