14 December 2009
how to prove in court that....... in co-op. society, m.d. gave some amount (say 20,00,000)in cash to the employee to giving another co-op. society. there after it was found from conformation that the cash was not received. and the mediater (employee) embelzed the cash. then how to prove in court from our books of account? some C.A. told that co-op. society to whom payment to be made should immediately credited. And some told that if the party to whom cash to be given should not credited immediately, because FIR is made against the defaulter party. and not any changes to be made in that account, as we are not judge.
tell me solution with accounting entry in details. my mail id is " sonibhavik1988@yahoo.com "
14 December 2009
Since the case is with the court; in my opinion; from the facts and circumstances can be decided that :
1. Person to whom cash was given has absconded.
2. Usually he was given such cash to deliver to others.
3. M.D. has authority to deal such huge amount in cash.
4. The need of sending such huge amount of cash.
5. When FIR has already made; it means at first instance; the money has not reached to another co-op soc and person to whom cash was given is not available.
In criminal cases; the arguments made by advocates are mind blowing.
You should think from other side also. To whom you want to blame; can say I was not in the city on that day. So whole of your wordings will be difficult to prove.
So it is very important to gathr evidence that -
1.such money was collected from members
2.this was lying with md
3. md used to send money with this employee.
4. absconding of employee
etc...etc...
Better hire the services of a criminal lawyer.
The following accounting entry should be appeared in the books :
Loss by Embezzlement A/c Dr.20,00,000 To Cash (narration)
CAclubindia
