Successful Debt Recovery for Sethwala Foods Limited

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Client Overview:

Sethwala Foods Limited, a leading player in the food industry, faced significant challenges with 36 overdue accounts amounting to Rs. 56 Lakhs. Many of these accounts had been outstanding for over 3.5 years, presenting a formidable challenge in debt recovery.

Challenge:

The accounts had been outstanding for a considerable period, and many debtors were unresponsive, making the recovery process complex. The objective was to recover as much of the outstanding amount as possible while maintaining healthy client relationship.

Actions Taken:

  1. Intimation and Warning Notices:
    • Intimation Letters: Sent to all 36 accounts to notify them of their outstanding dues and urge prompt payment.
    • Warning Notices: Issued to all accounts highlighting the consequences of continued non-payment while maintaining a respectful tone.

  1. Legal and Police Actions:
    • Legal Demand Notices: Sent by our in-house lawyers to 15 accounts, escalating the matter legally and emphasizing the seriousness of the outstanding debts.
    • Police Complaints: Filed against 6 accounts where the risk of default was highest and other measures had failed, ensuring all actions were compliant with legal and ethical standards.

  1. Field Visits:
    • Daily Visits: Field executives visited at least four accounts daily, delivering notices in person with a focus on respectful communication. Revisits were conducted when the business owner was unavailable, promises to pay were broken, or accounts were non-responsive.

  1. Communication Efforts:
    • Daily Calls: Agents made 15-20 calls daily to ensure constant communication, overcoming connectivity issues and keeping the pressure on debtors while maintaining professionalism.
    • Notice Delivery: All notices were sent via email, WhatsApp, and courier to ensure maximum reach and acknowledgment from the debtors, always emphasizing the importance of resolving the matter amicably.

Results:

Our comprehensive and ethical strategy successfully recovered Rs. 19 Lakhs from 19 accounts, achieving a success rate of 35%. This outcome underscores Taurus Collection’s dedication and expertise in managing complex recovery scenarios within the food industry while maintaining high ethical standards. Throughout the process, Sethwala Foods Limited received real-time updates via our portal and app, ensuring transparency and keeping them informed of all recovery actions.

Conclusion:

By employing a combination of legal actions, consistent and respectful communication, and strategic field visits, Taurus Collection effectively assisted Sethwala Foods Limited in recovering a significant portion of their overdue amounts. Our 30 years of experience in debt recovery and commitment to a “No Collection, No Fee” approach ensured that our client achieved results without incurring upfront costs. The transparency of our actions, accessible to both debtors and clients through our portal and Taurus App, reaffirms our reputation as a trusted and ethical partner in debt recovery solutions.

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