1. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
LEGAL ACTION PERMISSIBLE
AGAINST CREDIT CARD
PAYMENT DEFAULTERS
Lakshminarayanan Alaguraja
Advocate
Altacit Global

2. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
CREDIT CARD
A credit card is a payment card issued to
users as a system of payment. It allows the
cardholder to pay for goods and services
based on the holder's promise to pay for
them. The issuer of the card creates a
revolving account and grants a line of credit
to the consumer (or the user) from which
the user can borrow money for payment to a
merchant or as a cash advance to the user.

3. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
BENEFITS TO CUSTOMERS
The main benefit to each customer is
convenience. Compared to debit cards and
cheques, a credit card allows small short-
term loans to be quickly made to a customer
who need not calculate a balance remaining
before every transaction, provided the total
charges do not exceed the maximum credit
line for the card.

4. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
INTEREST CHARGES
• Credit card issuers usually waive interest charges if the
balance is paid in full each month, but typically will charge
full interest on the entire outstanding balance from the
date of each purchase if the total balance is not paid.
• The credit card may simply serve as a form of revolving
credit, or it may become a complicated financial instrument
with multiple balance segments each at a different interest
rate, possibly with a single umbrella credit limit, or with
separate credit limits applicable to the various balance
segments.
• Interest rates can vary considerably from card to card, and
the interest rate on a particular card may jump dramatically
if the card user is late with a payment on that card or any
other credit instrument, or even if the issuing bank decides
to raise its revenue.

5. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
CRIMINAL THREAT
Section 156 (3) of CrPC - Police officer’s
power to investigate cognizable cases.
Section 200 of CrPC - Examination of
complainant.
Section 406 of IPC - Punishment for criminal
breach of trust.
Section 420 of IPC - Cheating and
dishonestly inducing delivery of property.
Section 138 of NIA - Dishonour of cheque
for insufficiency, etc., of funds in the
accounts.

6. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
REMEDY
• non payment of dues is a civil liability
and not criminal.
• bank can file a civil suit for recovery
of the outstanding amount and not
criminal case.
• file a recover suit under RDDBFI Act.
• Banking Ombudsman at RBI.

7. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
RESERVE BANK OF INDIA
Important Terms and Conditions:
• Fees and Charges
• Drawal limits
• Billing
• Default and circumstances
• Termination / revocation of card
membership
• Loss/theft/misuse of card
• Disclosure

8. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
DEFAULT AND CIRCUMSTANCES
• Procedure including notice period for reporting a card
holder as defaulter
• Procedure for withdrawal of default report and the period
within which the default report would be withdrawn after
settlement of dues
• Recovery procedure in case of default
• Recovery of dues in case of death/ permanent in
capacitance of cardholder
• Available insurance cover for card holder and date of
activation of policy

9. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
RECOVERY AGENTS
• engagement of Recovery Agents including verification of
antecedents of their employees by agents,
• incentives to recovery agents – banks to ensure that
contracts with the recovery agents do not induce adoption
of uncivilized, unlawful and questionable behavior or
recovery process,
• methods followed by recovery agents,
• training to recovery agents ,
• taking possession of property mortgaged /hypothecated to
banks,
• use of forum of Lok Adalats,
• complaints against the bank/recovery agents and
• periodical review of the recovery agents’ mechanism.

10. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
Case Study

11. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
MADRAS HIGH COURT JUDGEMENT
Justice R Regupathi -
• Magistrates asked not to entertain private
complaints.
• Police not to register criminal cases in such
complaints.
• Erring magistrates warned of stringent action.
• HC registrar asked to compile statistics on number
of private complaints.
• Also asked to report on the orders passed by the
magistrates concerned.

12. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
In the present matters, it is ex facie apparent that, in
spite of having weighed the nature of allegations in
judicial scales and thereby knowing fully well that
legally they are not supposed to refer the civil
disputes for police investigation or take cognizance
by themselves, the said Judicial Officers concerned,
with ulterior motives and to oblige the demand of
the Bankers, illegally imputed criminal flavour to civil
disputes, which action is not only inappropriate, and
as such legally untenable, but elicits their unwanted
intention in aiding one party to intimidate the other
party.

13. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
G. SAGAR SURI & ANOTHER V. STATE OF
UP & OTHERS (2000) 2 SCC 636
in view of mixing the civil disputes with criminal
offences, the aggrieved parties are increasingly
invoking the inherent powers of the High Court
under Section 482 of the Code of Criminal Procedure
to prevent abuse of the process of Court or
otherwise to secure the ends of justice. The illegal
practice has made the Magistrate Courts breeding
points of pendency of unnecessary criminal cases
reflecting its adverse effect at all levels upto the
Supreme Court.

14. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
CENTRAL BANK OF INDIA VS. RAVINDRA
AND OTHERS (2001 (7) SCALE 351)
Supreme Court has directed that even when
a civil suit is filed, the Banks must furnish in
their plaint that interest/compound interest
is charged at such rates and capitalised at
periodical rests as permitted by directives of
the Reserve Bank of India.

15. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
info@altacit.com
WEBSITE
www.altacit.com
Thank You