False case of cheque bouncing

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

10 August 2011 I have been framed in a false case of cheque bouncing and case is going on in court.

The complainant has claimed that:

She claims to have given me a loan of Rs 28 LAkhs in CASH in the following manner-

1. In July 2006 - She gave me Rs 14 Lakhs(one time) in cash, on which she earned an interest of 3% per month. i.e she received
Rs 5 Lakhs in one year..again in cash.

2. In Aug 2007 Next year she sold off all her jewellery and gave me another Rs 14 Lakhs in CASH on which she earned an interest of 3% for 3 more months
i.e.(Rs 5L+2.52 Lakhs=7.52 Lakhs)

3. In this manner they say they have given me Rs 28 Lakhs

4. From what I know - they have filed income tax for only 2003-2004 and 2004-2005 for Rs.82000 and Rs. 125000 only respectively.

5. Since 2005-2006 till date they have not files IT-Returns at all.

They do not have any source of income to my knowledge.

My question is:

What will the income-tax and arrears & penalty they will have to pay if they have not paid the same:
That is I-Tax on Rs 28 Lakhs since 2006 with arrears and penalty??

They have committed a forgery and fraud against me.
How can I prove that in court?

Can I file for RTI of their Returns??

What is the procedure and how much
effective is it?

U S Sharma

U S Sharma (Expert)
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10 August 2011 it is a civil case, and court will initiate the income tax records production automatically.

if you did not have received the amount then you just have to deny with any such incident.

Querist : Anonymous

Querist : Anonymous (Querist)

11 August 2011 they have filed both criminal and civil case..
All this time we could not file application 311 and 145(2) due to mistake of earlier counsels but now we finally managed to atleast put it atleast on record this time.

The application has sufficent grounds to put the onus on them.

My question is:
Is it possible for them to file IT-returns for 2006-2007 till date now? If so, then what amount will they have to pay ?

and will it be considered OK in court?
Amount is Rs 28 Lakhs since 2007 till date

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Querist : Anonymous

Querist : Anonymous (Querist)

11 August 2011 Is it possible for me to get their IT-return information legally through RTI?

What is the procedure to do get RTI?

And how safe is it to get ITR info of an individual?

Querist : Anonymous

Querist : Anonymous (Querist)

11 August 2011 Any replies??

O.D.SHARMA

O.D.SHARMA (Expert)
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11 August 2011 Hi,
When the cash is the issue.All transactions are in cash(28 lac,5 Lac) how the interest @ Rs.5 lac can be paid cash as interest without Tax ? Where is the cheque bouncing for Negotiable instrument Act Case ?
The best way is to get the matter resolved with mutual understanding.
Again two year old returns cannot be filed/amended & IT Deptt will do job parallelly . They will reasses & make demand on the income not shown in Return.
U have to explain more on the issue to have proper replies

U S Sharma

U S Sharma (Expert)
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11 August 2011 on one hand your story tells that all transactions are done in cash, other hand your header reflects the case for cheque bounce,

unless you get clear on board in posting queries how anybody can put advise on the issue?

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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11 August 2011 You see you have not mentioned how the case has been filed against you without giving cheque to the concerned lady. You must have issued cheque? What is the reason for your issuing the cheque.

This is covered u/s 138 and both civil and criminal liabilities arises. You can be harnessed by police on the complain also.

Why you are behind proving that they do not have any income? First tell me the brief of the case how it happend. Have you given a cheque duly signed by you and that cheque has bounced? If Yes then you can take the plea that instead of your borrowing the funds they have asked you to land them funds and to take you as a partner in one of their firm but as they have refused you bounced the cheque.

Then comes the burn to prove that they have paid you the cash. There are so many things in this matter. You can mail me the facts of your case at ssunderagarwal@gmail.com

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Querist : Anonymous

Querist : Anonymous (Querist)

11 August 2011
Well its a long story:

I am highlighting the main points as under:

My lawyer is taking care of the cheque bouncing part.
What I need to know is from Tax point of view.

1. My signed blank cheques and an a forged undertaking have been misused to frame a case against me
- its more of friends turned foe story. But it has gone too far.

2. There is no actual monetary transaction done regarding Rs 28 Lakhs. Neither a penny borrowed nor a penny paid as interest. But they have claimed in their sworn affidavit.

3. They never had more than 28000/- in their account ever.

4. They have not filed their ITR since 2005-2006 till date.

5. They will be asked in next hearing by court to furnish their ITR & bank statements to prove they had Rs 28Lakhs in cash. Which they do not have at all(I confirmed from inside).

My question is:
If they try to manipulate IT-Dept and try to pay Income tax on Rs 28 Lakhs from 2007, how much amount will they have to pay in total i.e. Tax on Rs 28 Lakhs+ Interest+Penalty since 2007 ?

Is there any way they can get away with it?? I mean try to get things right on paper by favouring someone in IT-Dept?

Also if they cannot manipulate and get caught what is the consequences of filing a false case??

Querist : Anonymous

Querist : Anonymous (Querist)

14 August 2011 Also,
What happens if IT Dept. comes to know that in reality they never had that kind of money(Rs 28 Lakhs in cash). but in court they have filed a complaint(under oath)

Will the IT -Dept hold the complaint taken under oath as true that they possessed it and take action against them?

We have moved an application in court u/s 145(2) asking the complainant to disclose whether they have shown it in their income tax or not. the application is under-consideration. Hopefully it will be accepted.

Should I still approach the IT -Dept separately? If yes then how should I do it ?

Querist : Anonymous

Querist : Anonymous (Querist)

14 August 2011 What will be the amount they will have to pay in terms of (tax+penalty) for the following details:
Rs 14 Lakhs in cash in 2006
Rs 14 Lakhs worth of jewelley they sold to get cash in 2007.

The last ITR they filed was in 2004-05 for Rs.82000/- and in 2005-06 for Rs 1.25 Lakhs anually.
Since then there is no ITR filed till date.

O.D.SHARMA

O.D.SHARMA (Expert)
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14 August 2011 hi,There are two cases u have to face NI Act & punishment with term ( as decided by law) the second party will manage tax law.There are so many cases going the way.But the person have issued a cheque have to worry more ^ face strong penalty & police but not in TAX matter.

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Querist : Anonymous

Querist : Anonymous (Querist)

14 August 2011 thats what i want to know.
how can they manage tax..when they dont earn anything at all??
i mean how can they justify that??

not earning anything at all , not filing ITR after that for 6 yrs and then suddenly claiming to give Rs 28 Lakhs in cash??