LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Dave (owner)     30 August 2011

A state owned bank not vacating property

Hi,

3 years ago I inherited a property in Mumbai that was leased out to a large state owned bank for 10 years on very low rent (10% of market rate). The lease ran out over 2 years ago in 2009 but despite initial promises, the bank refuses to negotiate a new lease (even at a dicounted rate) or communicate in writing. The bank also refuses to vacate the property.

They continue to put the old rent into my account (against my protest and hence not touched by me). They seem unworried about going to court as it will drag out over a number of years.

I am concerned as to how a state undertaking could do this without worry. With the bank refusing to negotiate, is court the only option I have?

Thank you!



Learning

 4 Replies

Anil Agrawal (Retired)     01 September 2011

Please write to the Chairman of the Bank and Ombudsman. File a case for eviction.

Bobby Mani T (Lawyer)     05 September 2011

The court is the only option you have.  If you are giving your building to tenants, you should be ready to fight in the court for its recovery. As you fix the rent you should fix the rent so as to enable you tofight  in the court.  That is the only effecive remedy you have.

Anil Agrawal (Retired)     05 September 2011

There is no harm in making a complaint to the department of banking of govt of India and Ombudsman also.

Dave (owner)     07 September 2011

Thank you both. A complaint to the relevant government department is a good idea. I will not raise my hopes but it is worth a try - fingers crossed!

I also found the following article whereby a judge has lambasted similar cases. It is encouraging though I am disappointed that nothing more seems to have come out of it. Any way I can use it?: https://www.dnaindia.com/india/report_delhi-high-court-lambasts-bank-for-not-paying-rent-of-commercial-premises_1473256

I have already started court proceedings but things are going very slow. Would you also estimate 10 years for the case to finally be resolved? I am finding the judge rarely turns up to hear the case, or opposing advocate requests an adjournment. It is hugely frustrating.


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register