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Mathew   11 June 2017

Illegal and criminal extortion of money (sbt now sbi)

We had availed a loan of Rs. 22 Lakhs from SBT (SBI), Kerala in December 2009 repayable with an interest rate of 13.25% per annum for a period of 5 years (60 instalments), last of which was paid in November 2014.

After 3 months, we asked for loan closure certificate from the Bank. To our surprise, the bank started demanding Rs.3.56 Lakhs from us saying it was due from us. We repeatedly asked them as to how this big amount is due from us. The Bank could not give any satisfactory reply to us. They went on demanding huge amount by issuing threatening property confiscation notices.  So, we filed a complaint against the Bank with the Banking ombudsman, Trivandrum. The said Ombudsman asked the bank to recalculate our account and on recalculation, the Bank returned the excess amount of around Rs. 19,387/- recovered from us to our Loan account as they say (They are supposed to credit the amount to our savings account but instead chose to credit into the loan account). Inspite of all this, the Bank went on demanding huge amounts defying Banking ombudsman. I had appealed to Banking Ombudsman again to enforce their decision. They gave us reply expressing their inability to help us in this matter. If they cannot enforce their decision, what is the necessity of such an institution? The Bank defied the orders of the ombudsman and declared the loan as NPA (Non-performing Asset) in the latter half of 2015 and applied SARFAESI ACT on us and issued confiscation notice on our property. The said Act can be applied only if there is default of instalments for a long time. In this case, they have resorted to SARFAESI ACT after ALL the instalments have been paid. This is nothing but criminal extortion of money.

We have another housing loan and we are paying all the instalments regularly on their own admission . They have even declared this loan as NPA and clubbed it together.
In addition to this, they have resorted to Publication in a newspaper threatening us of confiscation of our property thereby defaming us unnecessarily among our natives, relatives and friends.

I have calculated the total amount that I have paid to the Bank from the account statement supplied by the Bank. The monthly instalment actually comes to Rs. 50,400/- only. Hence the total amount due to the Bank is only Rs. 30, 24000/-. It is seen as I have stated earlier that I have paid Rs.72,000 more than required. They are illegally applying SARFAESI ACT which is NOT applicable in this case because the LOAN NEVER EXISTED after November 2014.

We possess Evidence of all the Bank statements and other Banking documents,  Including Ombudsman order.

Please advise.



Learning

 18 Replies

Dr J C Vashista (Advocate)     11 June 2017

Such long stories should be discussed with a local lawyer.


(Guest)

Sir-  a strong RTI can take care of the above.  Nationalizd banks are very easy to DEAL WTIH RTIs.been there ,done it , WON IT. try it out.you should spend your TIME compiling RTIs and not writing LONG stories here.

Frame your RTI queries so strongly that will make the officials go look for look for covers.

 

G.L.N. Prasad (Retired employee.)     11 June 2017

Contact any junior advocate and file a simple complaint before District Consumer Forum seeking heavy compensation from the Bank.

Before that, hand over the statement and sanction letter to any Chartered Accountant or any retired banker and ask them to recalculate correct interest as per sanction terms.

The consumer complaint is summary in nature and the total cost apart from advocate fees may not exceed Rs.500/-

Remember, that you are also entitled for legal assistance through Legal Services Authority.

Fortunately the decision and inability of Banking Ombudsman is in your favour.

You can also make a written complaint to RBI, bringing them to the attention that Banking Ombudsman is a tooth less scheme and a mere drama on citizens.  This should be filed as grievance in pgportal on line.

As a senior citizen, as the case is summary in nature, if your advocate is competent, you can get a favourable decision in 90 days.

These are the problems when a common man, particularly a senior citizen helpless women has to fight with a Government organisation.

(With due respects, I wish to submit that RTI is a source of seeking information and not a remedy.   There was a delay.  The litigant knocked the doors of Ombudsman and got a favoaurable decision to establish the facts/truth in her claim and also approached HC.  Through RTI, one can only get information on record, and naturally bank's PIO and FAA may not provide that information, and a second appeal before CIC takes minimum of two years for coming for hearing, and even the decision is uncertain.  The concerned IC who deals with such matters offers free advice to approach the concerned forum .  RTI , according to my opinion is not suitable in this case.)

Advocate Suneel Moudgil (Advocate)     11 June 2017

Dear Client,

as confiscation of property started by bank, so, you are advised to immediately approach DRT (Debt Recovery Tribunal) by hiring one experienced advocate and explicate complete facts there (DRT) and get stay on property. 

further you can file complaint before District Consumer Forum claiming compensation from bank, you can also file writ before Concerned High Court for taking action against the bank and its officials.

 

 

 

Advocate Kappil Cchandna (Expert Bail & Criminal Defence Lawyer at Delhi Supreme Court of India)     11 June 2017

sIR, 

 

IF YOU HAVE A STRONG CASE, CONTEST YOUR CASE ON MERITS .... 

 

Warm Regards 

Kapil Chandna Advocate 

9899011450,09911218741

https://kapilchandnaadvocate.wordpress.com/

Kumar Doab (FIN)     11 June 2017

"We possess Evidence of all the Bank statements and other Banking documents, Including Ombudsman order,"

Lodge complaint with governor RBI.


Pull them to Consumer Fora.

 

Kumar Doab (FIN)     11 June 2017

You can bebefit from the advises rendered by Mr. G.L.N.Prasad, Mr. Suneel Moudgil.

Kumar Doab (FIN)     11 June 2017

LCI members/Experts Mr. G.L.N.Prasad, Mr. Rajendra K Goyal, Mr. Parthasarthy Longanathan, Mr. Mallipedi Jaggarao are from banking/legal cells of banks background.

You need legal support.

The bank and banker will not offer their neck if they are deficient and have committed trangression.

LAXMINARAYAN - Sr Advocate. ( solve problems in criminal cases. lawproblems@gmail.com)     11 June 2017

Thus the problem wih banks and NBFC all over country since there is no controlling agency on them.

No need to go to DRT because it is costly and not much results due to heavy work load.

 

There are still simple legal actions available , pl tell us your location.

 

 

G.L.N. Prasad (Retired employee.)     11 June 2017

You may be mentioning the past case berfore merger.

Once it is merged, now file complaint against the branch on line of SBI website, and on pgportal also, providing all needed facts.

You can also file grievance in pgportal of RBI (Finance Ministry)

These are very useful for establishing your initiatial efforts and strong evidences for you further.

Kumar Doab (FIN)     11 June 2017

As it can be read from query; The querist seems to be at Trivendrum.

Mathew   11 June 2017

We are in Trivandrum.

Mathew   11 June 2017

We are in Trivandrum.

Mathew   04 July 2017

We have now filed a Civil Suit in the Civil court which has been admitted. Can we file a petition before the consumer forum now? Will it amount to sub-judice?


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