Legal Question in Criminal Law in India

A year back i borrowed abt 1lac from a money lender, with 10% monthly rate of interest flat, which i paid him almost 80K , in 12 months. He made a agreement in marathi script, and made me sign it instantly w/o reading, which i did, as i needed money for downpaymnt of the car i was planning to buy. I submitted the xerox copy of the rctc book of the car which i was buying as a proof to him. He made me sign in the transfer docs of my bike as security, and kept my original rctc book of my bike, including two extra cheques. When i tried to negotiate him last week to close my said loan frm him, he asked for whopping 2 lacs. When protested he showed me the notarised agreement which we had done last year, saying i was obliged to pay him 2lacs . It was also mentioned i would transfer the car to him if i was unable to pay him 2lac in a year which is ending next month. Though i havent bought the car at that time, due to some unavoidable cicumtances, the money lender doesnt knows abt it, and what i have heard from some of his men is if he does comes to know he might produce fake docs of the car to try to get me in legal tangle.

I am unsure of what i do next, all the money i gave him is through cash, and i have no proof to have paid him . I am thinking of gng to police, but i would like to know your views b4 i take such a drastic step. Kindly please help me out in this matter.


Asked on 6/29/10, 10:43 pm

2 Answers from Attorneys
Pravin Vaidya Independent

Please contact local Laywer with full details & copies of documents

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Answered on 6/30/10, 10:47 am
Sudershan Goel India Law Offices of Sudershan Goel - Advocate

Police action may not be maintainable and hence non-effective. The payments in cash made you need to be proved by cogent evidence. You may consider filing a civil suit to pursue your remedy seeking settlement of account. The payments made by you may be considered as payments towards loan account for settlement purposes.

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Answered on 7/01/10, 3:55 am


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