DRT/cgtmse case
Querist :
Anonymous
(Querist) 06 April 2016
This query is : Resolved
I had written previously about a loan our partnership firm had taken under CGTMSE scheme which means no Collateral was given. The suffered huge losses and my partner left the country. I also had to change my address since I could not afford rented accommodation. The bank filed a case with DRT and I did not get any summons, as address had changed. Now I have come to know the DRT has passed recovery order.
There are no assets in my name just a 6 year old car. The amount involved is huge about Rs. 70,00,000/- there is now way I can manage to pay the bank.
I want to understand whether I should file an appeal or not? What will be the outcome of appeal, and If I don't have any assets, what will happen, what action will the bank/DRT take.
It was a genuine case of business failure in which some huge shipments got rejected and ended in huge losses.
Please advise what should be my course of action.
Devajyoti Barman
(Expert) 06 April 2016
Without knowing the case history and papers it is difficult make comment on the outcome of appeal.
Since there is right for appeal one can explore this option.
Business failure is though no excuse to play with public money and the defaulting party hardly gets a chance to escape from liability on the garb of collapse of business.
So brace for it.
Querist :
Anonymous
(Querist) 06 April 2016
What all can happen? What should be my course of action.
