Legal Question in Criminal Law in India

Dear Sirs,

My friend was conducting a printing press industry for the past 12 years. For the past few years he faced heavy losses in this business, due to his bad and unwanted habits. He borrowed loans from the bank for about Rs.30 lakhs against pledge of machineries, factory buildings and dwelling house. Apart from the above, he has borrowed for about Rs. 1 Crore (10 Millions ) from private parties against pronotes. He has issued blank cheques (without mentioning date) for about 12 loan providers as security. Now he has closed his industry and sold all the machineries, factory building and dwelling house for about Rs. 50 lakhs, out of which he has settled bank loan of Rs.30 lakhs. Now only he has Rs.20 lakhs in his hand, whereas his liabilities is more than Rs. 1 Crore to private parties. One fine morning he had absconded away from the station with his family. I am unable to understand where he is now. It is quit impossible to settle this huge amount of Rs.1 Crore against the balance availability amount of Rs.20 lakhs ie., 10% to 15% only can be settled. But no body will agree for this settlement. In turn, all the loan providers will present the cheques at the bank, resulting all the cheques will be bounced from the bank. Then within 15 days from the date of dishonor of the cheques, they will file cheque bounce case at the court against my friend. The arrest warrant will be issued by the court against my friend. At any cost the police will find out the location where my friend is available and arrest him with help of the so many money lenders and produce in the court. If so, he has to face punishment for each and every cheque bounce case by the court. At this juncture no body is ready to take him in bail. If so, what is the maximum punishment of the court. Pl advise my friend�s fate. Due to his bad habit by spending huge amount borrowed from out side, now his wife and children are suffering too much in all the aspects. Pl help me by rendering your valuable legal advice in this regard, for which I shall be ever grateful to you.

Thank you,


Asked on 10/08/10, 4:02 am

2 Answers from Attorneys
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

in case it is a chque bouncing case, it is a bailable offence and your friend would be granted bail on presenting himself before the court along with surety. in case some other section viz. 420 etc is also there, then he may have to seek anticipatory bail.

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Answered on 10/08/10, 4:38 am
Vishwa Arya Arya & Co.

your questions are highly probable and hypothetical. Your friend will have to face the consequences. You seems to be worried more than your friend. If the cheques were issued as security, and your friend can prove that, 138 may not be made out. as Mr. gupta has very rightly said, it would depend upon the complaint of the holder of the cheque. if they allege cheating, your friend will be in more trouble. So wait and watch and seek fact based advice

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Answered on 10/08/10, 8:59 am


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