One of my clients recently had a case which I am explaining below and if you are stuck in such similar situation, here is what to do.

Note: Due to attorney-client privilege, I cannot disclose complete case details or identify the actual parties involved. However, I am sharing the essential facts and legal approach so that if you find yourself in a similar situation, you can understand the available solutions and legal remedies.

Mr.X approached me with a distressing situation involving EMI harassment. His elderly parents had purchased household items from X.company on EMI basis. After what they believed were completed payments, agents from Y.collection agency began demanding payment of 2-3 pending EMIs. Despite Mr.X’s parents’ claims of full payment, the harassment escalated dramatically. The collection agents started making threatening phone calls at odd hours, sending fake legal notices, and even visiting their residence with intimidating language. They threatened immediate arrest, asset seizure, and criminal cases. The agents also contacted relatives and neighbors, causing severe mental distress and social embarrassment to the elderly couple.

Advice in Such Cases

Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation to come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think.

• Document all harassment incidents including call recordings, messages, and witness statements
• Gather all EMI payment receipts and transaction records immediately
• File complaints with RBI Ombudsman against unfair collection practices
• Report to local police if threats become severe or physical harassment occurs

Applicable Sections of Law

Several provisions under BNS and BNSS apply to EMI harassment cases. Section 351 BNS (Criminal Intimidation) covers threats made by collection agents. Section 352 BNS addresses intentional insult with intent to provoke breach of peace. Section 79 BNS deals with wrongful restraint if agents block movement. Under BNSS, Section 173 allows filing of complaints for non-cognizable offenses. Additionally, RBI guidelines on fair collection practices provide regulatory protection. Consumer Protection Act provisions also apply when dealing with unfair trade practices by lending institutions.

If You Are the Complainant

• File a detailed complaint with local police station under relevant BNS sections
• Submit formal complaint to RBI Ombudsman with supporting documents
• Approach District Consumer Forum if unfair trade practices are involved
• Maintain detailed logs of all harassment incidents with dates and times
• Request written communication from lenders instead of telephonic demands

If You Are the Victim

• Never admit to any dues without verifying complete payment records
• Record all threatening calls and preserve evidence systematically
• Inform collection agents that harassment will be reported to authorities
• Seek immediate medical attention if facing health issues due to stress
• Contact family members and neighbors to act as witnesses to harassment

How the Police Behave in Such Cases

Police generally treat EMI harassment complaints seriously, especially when elderly persons are involved. They typically conduct preliminary inquiry and may counsel both parties initially. However, when clear evidence of criminal intimidation exists, police register FIR under appropriate BNS sections. They often coordinate with banking regulatory authorities and may issue warnings to collection agencies. Police response varies by jurisdiction, but documented evidence significantly improves chances of proper investigation.

FAQs People Normally Have

Can collection agents visit my home? Yes, but they cannot use threatening language or cause disturbance. What if EMI is actually pending? Even genuine dues don’t justify harassment; proper legal procedures must be followed. Can they contact relatives? RBI guidelines prohibit contacting third parties for collection purposes. What about fake legal notices? Fraudulent legal notices constitute criminal offense under BNS provisions and should be reported immediately to police.

What Evidence Is Required?

• Call recordings of threatening conversations with collection agents
• Screenshots of abusive text messages or WhatsApp communications
• Payment receipts and bank statements showing EMI transactions
• Witness statements from family members or neighbors
• Medical records if harassment caused health problems
• Fake legal notices or documents received from collection agencies
• CCTV footage if agents visited premises and caused disturbance

How Long Will the Investigation Take?

Investigation timeline varies based on case complexity and evidence availability. Simple harassment complaints may be resolved within 2-3 months through police counseling. Complex cases involving multiple violations may take 6-12 months for complete investigation. RBI Ombudsman complaints typically resolve within 30-90 days. Consumer forum proceedings may extend 6-18 months depending on hearing schedules and case merits.

Advocate Sudhir Rao, Supreme Court of India