Banking issue
balu
(Querist) 12 June 2013
This query is : Resolved
sir,
one of my friend worked in a private ltd bank in coimbatore. he has sanctioned a od loan and term loan to a customer with secuity 3 years back. now he came to know the customer gave the fake staement ( old bankers cc statement modified by themselves) at the time of giving proposals. and also he came to found now the party operating one more current account with another bank without the official bank. in their it statements with a lot of fake trasactions. now he only know these and how can he come out from this without any dept actions. please reply. most urgent. thank u
Rajendra K Goyal
(Expert) 12 June 2013
If your friend is still working in the Bank he can convince the Bank to call of the loan, may contact the person and bring it to his notice that criminal proceeding can be started for submission of the forged papers for the loan, hence convince him to repay the loan.
Generally the Banks renew OD limits yearly and receive the revised Balance Sheet and other papers. Find out the procedure was followed or not. If the installments in Term Loan are regularly being received these would be positive points in favor of your friend.
Closing of loan account is the best solution to come out of the departmental action.
RAJU O.F.,
(Expert) 13 June 2013
We don't know as to whether you had complied KYC norms before sanctioning the loans to the said customer. Any how start recovery proceedings from that customer and also initiate criminal proceedings for cheating and falsification of documents submitted to the bank.
Guest
(Expert) 14 June 2013
Dear Balu,
There can be 101 ways to protect your friend, but it would be quite useless to discuss anything on hypothetical basis unless the background and occurrence of events are discussed, how the issue has cropped up now, what preventive measures your friend had taken prior to sanction of OD and term loan, what preventive measures he has taken after the facts came to light and what action the bank is considering against your friend or the cheater customer.
Sudhir Kumar, Advocate
(Expert) 16 June 2013
KYC norms relate to opening of account and the misconduct of your friend is not on opening of account rather allowing OD.
You have not so far stated if the loan has been defaulted.
Your friend can suo-motto refer the case back on new information and prove his credentials by proposing cancellation of OD
