Employee absconded after taking advance loan from the organization - adequate steps to close his personnel file?

Dear All,

It was the case of 2019 when I was not part of my current organization. An employee took an advance loan from the organization and left the company without notice. Then HR just wrote him an email of being absconding from the work and closed his file. What should be the adequate steps to close his personnel file?

Send a letter to him by registered post acknowledgment due to his last known address and to his permanent address, advising him to return the money with interest (or without interest). Failing to do so, suitable legal action shall be taken by the company. If he can be contacted either by phone or personally, resort to this step as well.

We want to close his file HR/Accounts simultaneously. How do we proceed?

The procedure you have to follow is already cited in my earlier post.

There are two options available before you:

1) To proceed further legally against the absconding employee for the recovery of the amount (as he left services on his own without notice, it could be construed that he has voluntarily abandoned employment).

2) Bring this to the notice of your Top boss (Proprietor/Managing Partner/Chief Executive or Managing Director - depending upon the status of your organization) and request him/her to waive off the same (properly document a file note with proper approval). One copy needs to be given to Accounts and the original copy to be retained in his personal file/employee service record.