can a collection officier have right to cease machine for unpaid due?
01-May-2023 (In Civil Law)
i am from coimbatore. i am running a small scale industry. i had taken a loan of 1.5 lakhs in private finance company. i was not able to pay my last two due owing to less order during the months of November to march this is because of demonetization. finance collection officer is threatening us that he has all rights to cease our machine without any legal intimation. is it really possible for him to do it without asking our stand.?
You could file a civil suit restraining the private finance firm to adopt unlawful ways to recover dues. The firm would file that there is arbitration clause and matter has to ve dismissed. Any way it could stall their recovery mechanism for certain period and you could try to settle the dues during the time gap.
Taken possession of the vehicle only through the court of law by used the civil procedure code in the name of execution petition after obtained the decree from competent civil court or used the arbitration act when there is the presence of arbitration agreement existed between you and finance company and in the absence of such things taken possession of vehicle by collection officer is illegal which amounts to theft or extortion as envisaged under Indian penal code
i am endorsing my opinion based on your revelations, No it is not possible, i think he is trying his level best to get things out of you without following due process of law. So try to streamline loan account ASAP, and avoid unnecessary legal disputes.
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