Hello All, I need help and supportive guidance on my issue as below.
I was hired by a company A and this company A also has sister concern company B. Due to no work in company A i started working for company B.
They were no official communication that was done to take care of business development on company B.

In company B we used to import products from Europe and sell in Indian market through distributors. But i did a mistake here. I opened a firm in my friend's name and started buying products imported by company B- for my friend's firm- and sold to customers. The mobile number for my friends company also belongs to me also there were financial transactions between the friends' firm and my bank account.

Now I was caught and terminated - Now company had issued me letter that they will recover the money that i may have earned through my friends firm and also go legal if I do not pay.
My F&F settlement is also not done and also due to this my name is spoiled in the market and no job opportunities are available. I am on streets now with high EMI 's to be paid and no back support.

Where do I stand legally and how do i proceed??

From India, Bengaluru
Dinesh Divekar
Business Mentor, Consultant And Trainer
Agm - Hr&admin

Dinesh Divekar

Dear SumanKQT,

Your case is complicated. A post on a forum like this is not sufficient to know the complete facts of the case. Therefore, you may seek a lawyer's opinion on how to wriggle out of the predicament you are in.


Dinesh Divekar

From India, Bangalore


I think you can easily defend the case with the help of professional Labour Advocate.

You were hired for Company A but worked for Company B without any transfer order or official communication in place. Now Termination Order was issued by which Company either A or B ? While you were very much clever to open a firm in your friends name should have applied your prudentship before giving your own mobile number to your friends firm. Even this can be managed using some loop holes but financial transactions between your friends (?) firm and your Bank account will be a set back for you.

As Company B's primary business is to sell imported things through Distributors you did business transaction through your friend firm and hence question of loss to Company B does not arise here and they sold the things to your friends firm after adjusting profit margin only. Is there is any clause in Company A's appointment order that employees should not carry out any private business or some thing related like that.

For sure you can fight back.. but the legal process might consume much time while Company A or B can spend time on legal process as a individual with EMI commitments you will not be able to spend more time and money on this. Hence discuss with Advocate on this they might show you some path.

From India, Madras
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