Wazirpur IT Association Warns of Defaulters
Delhi, Oct 28: Wazirpur-based IT Association has sent out a stern warning to all its members, asking them not to take up any cash or credit transaction with Empire Infotech, a company that is operating out of the IT complex in the region for the last four months.
Association President Mukesh Gupta sent the note to the members stating that there was evidence from channel partners from neighboring states that suggests wrongdoing by Empire Infotech’s owner Suresh Luthra, alias Suresh Kumar. There is a hint that the named company has no intention of paying the outstanding amounts to the partners.
Already, some members of the association have shared information about cheques bouncing. The association alleges that Luthra reportedly has cheating cases registered against him in Chandigarh and Ambala cities.
Even some of IT vendors have also sent out mailer to Wazirpur association in this matter saying that an actions should be taken on urgent basis as before Empire Infotech does damage to everyone including Delhi partners and vendors.
Speaking to Channel Times, Mukesh Gupta said, “I have personally visited at my members shops in this matter and requested them to refrain from this alleged partner. In spite of repeated warnings to members, some of members are still working with Empire Infotech, under the table. We are trying to abort this massive default case, which may occur in coming days.”
Gupta also highlighted that Empire Infotech made several attempts to buy material from one of their distribution houses but each time they refused to sell. The warning note has had some impact with a few Tier-1 and Tier-2 partners refusing to deal with the person, the association came to know that Luthra was now contacting partners outside the Wazirpur market.
According to Wazirpur channel partner, ‘Luthra usually deals in cash for the first few times to establish credibility after which he issues post-dated cheques when the amounts are large. These too get cleared the first few times. Post this, his purchase values goes up and he issues cheques and fixes two or three deals.”
Thereafter, the cheques start bouncing. Moreover, he sells goods in other markets at cheaper rates, which impacts trade in Delhi. He has left many partners in trouble, Gupta alleges.
The association also noted that since the dealers and retailers were going through a tough phase due to low walk-ins, they were not verifying credentials of the partners in their rush to liquidate stocks and thus falling prey to fly-by-night operators.
“We have been monitoring Luthra’s activities and have warned our members. His outstandings have crossed Rs. 40 lakh. In case we do not take any collective actions against this black sheep, the default value can grow,” Gupta concluded.