How Can I Recover Payment Mistakenly Sent to the Wrong Contractor? Seeking Advice and Templates

Dear Sir, anybody, please help me. We have deployed subcontractors to different sites. There are two subcontractors with the same agency name, and our accounting department transferred the payment amount of two lakhs to contractor (A), but that payment should have been transferred to another contractor (B). We have contacted Contractor (B) to inquire about our payment, but he is not responding. His contract has been completed. Hence, please guide me on how to recover that payment and provide me with any templates for a notice in this regard.

With Regards,
Anil Pandey

You are in big problem. How much was the amount? You have the option of sending a legal notice and then making a police complaint. However, both options do not guarantee easy recovery.

Steps to Recover Mistaken Payment

The contractor has no legal right to retain the amount credited to him by mistake. Put up a demand in writing asking for an immediate refund of the amount. The letter should be clear and simple, giving details of the payment—how was the transfer/payment made—NEFT/Cheque? Before that, confirm with your bank the dates on which the transfer has been completed. Your company representative can visit the contractor at his office immediately and speak to them, asking for a refund. If still, the contractor is not willing, then a police case will have to be filed. Now take clear steps to avoid such mistakes and recurrence of wrongful transfers.