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Cheated by chit fund company, how to recover amount?
15-May-2023 (In Criminal Law)
I had deposited some x amount in this XYZ chit fund pvt ltd before demonetization. And now after all these months when i ask them to return my money they are not ready to return it. They are giving me Reasons like "We are in problem after demonetization" and hence can not give your money back for now. They are not paying the interest amount too after demonetization and when asked they are saying they cannot even pay interest amount and need time to pay my money. And after all these drama they want to pay me 10,000 each month as in my principle amount and no interest included. If calculated i should receive around 7000 as an interest per month for my principle amount. If they pay 10000/month its is going to take years to pay my principle amount that to without interest and it does not serve my purpose. As i kept that money aside as savings. And i have a bond provided by provided by them at the time of depositing as a proof. What legal action can be taken to recover my money.
As you have mentioned it is Pvt Ltd means it must be licence holding Chit Fund. You can issue legal notice to the Chit Fund through your advocate by claiming your amount which you invested and and you are liable to get the interest as per the plan. Mention the details which the chit fund is binding to pay you as per the policy and terms and conditions which they have explained to you. If you don't get an satisfactory answer drag them to the court by filing criminal case against them for cheating you.
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Adv. Rajesh K.S
Bangalore | 500+ Answers
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What is Section 12 of chit fund Act?
No company engaged in chit business may engage in any other activity without the permission of the State government.
Is a chit fund legal or illegal?
Chit Funds can be registered at the Registrar of Societies and Chits, and are regulated by Reserve Bank of India, under the Chit Fund Act of 1992, which is applicable throughout India. Unregistered Chit Funds are initiated by friends, family, and colleagues. 07-Sept-2023
Is chit fund agreement legal?
As far as I am aware, chit funds in India are legal under the 1982 chit-fund act. In India, chit funds are a form of rotating savings and lending association system. Chit fund schemes can be organized by financial institutes or informal among friends, family, and neighbours. 06-Jan-2023
If you have documents you can file suit for recovery of money civil suit and also you can file a private complaint against company under section 406 408, 409, 412, 416 to 420 of Indian penal code against all of them under section 200 of code of criminal procedure in jurisdiction court and obtain investigation to concerned police jurisdiction through court and file case and get amount from them.
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Adv. Nagesh B L
Bangalore | 200+ Answers
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Your query does not disclose as to whether you have deposited legally or you possess legal document to establish that you have deposited and if so on what terms etc., Better four you to approach an advocate with all your papers to get suitable advise.
Monetary transaction shall not be done on confidence, shall be done only in accordance with law. Good Luck.
Monetary transaction shall not be done on confidence, shall be done only in accordance with law. Good Luck.
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Adv. Chandraiah
Bangalore | 100+ Answers
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When you have been cheated by a chit fund company, it's essential to take legal actions to recover your invested amount. Here are the steps you can follow:
- Consult with a Legal Expert: Seek advice from a qualified lawyer who specializes in financial fraud and chit fund cases. They can guide you through the legal process and help you understand your options.
- Gather Evidence: Collect all relevant documents, including your investment receipts, agreements, and any correspondence with the chit fund company. These documents will be crucial in building your case.
- File a Complaint with the Police: Lodge a formal complaint with your local police station against the chit fund company. You may file the complaint under sections such as Section 406 (Criminal Breach of Trust) and Section 420 (Cheating) of the Indian Penal Code (IPC).
- Legal Notice: Your lawyer can send a legal notice to the chit fund company demanding the refund of your money. This notice serves as an official communication of your intent to take legal action.
- Consumer Complaint: You can also file a complaint with the appropriate consumer forum or commission, depending on the amount involved. Consumer forums are known for resolving disputes related to consumer services and products.
- Criminal Case: If the chit fund company's actions are found to be fraudulent, a criminal case may be initiated against them, leading to legal proceedings.
- Civil Suit: In addition to criminal charges, you can file a civil suit to recover your money. Your lawyer will guide you on the appropriate legal recourse.
- Stay Informed: Stay updated on the progress of your case and cooperate with the authorities and legal experts as needed.
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Adv. Chikirsha Mohanty
Delhi | 200+ AnswersCONTACT NOW
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