Shrikant.j.bhilare Bhilare
Asked January 31, 2017

Legal action to recover money due

  • 2 Answers
  • 1340 Views

I got a case where a client executed a promissory note of rs 83000... The person who took personal friendly loan have not returned it back in due time. Police compliant was made by client himself for recovery of money but police directed by their reply to take civil remedy Now the loaner has absconded his residential place n stay somewhere in thane or diva. What exact remedy can be availed?? Can police complaint through advocates letterhead Or Or direct Magistrate compliant under section 156 (3) b filed?? Or Can a normal suit for recovery suit or summary suit b filed.... The current whereabouts of the loaner is also nit traceable??? Kindly guide...

Answers 2

In the case of default to pay promissory note amount, no criminal action cannot be intiated, only civil remedy is available.  

In order to recover your money, the first step is to to issue a legal notice ask them to repay the entire amount that is due. If they fail to repay the amount then you have to file a suit for Recovery of money. You can also ask compensation for damages, if there has been any loss to you due to the non-payment of dues. You also have the option to file a summary suit under order XXXVII of CPC for recovery of the money with interest.

Limitation period for such cases 3 years, that means you have to file the case for recovery of money with suit for damages before the civil court within 3 years of the day of when the other party was supposed to pay but did not.

Agree Comment 0 Agrees over 3 years ago

Dear after analysis case facts instantly you have to file 156 (3) r/w 200 CrPC before MM, Court, for criminal proceedings. in so far as recovery you may file a civil suit either U/O 37 or Recovery suit for money but civil case period of limitation is 3 years for legally recoverable debt. Apart from criminal there is no limitation, In my advice first file a criminal complaint afterthat file a civil or both togther. But Criminal shall be first.

Agree Comment 0 Agrees over 3 years ago

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