Property law

Querist : Anonymous (Querist) 08 January 2012 This query is : Resolved
sir ours is partnership firm comprising of two partners that is myself and my brother.We had taken a loan of 25 lakhs from a nationalised bank in the year 2003. Due to some unforeseen circumstances our account became irregular in the year 2008. We had pledged our building whose worth now is 60 lakhs.The accrued interest along with principal now is 40 lakhs.Bank filed a suit and recovery certificate for 40 lakhs has been issued. Now bank is bringing the property for sale under auction. When we tried for compromise at this stage bank agreed for single payment of 33lakhs as full and final settlement. My brother is not interested in reaching settlement. But I dont want to lose my property which is jointly held by us. I want to pay this loan amount and redeem our property funds for which I will be raising through my inlaws. But the problem is that as my partner does not cooperate with the bank can the mortgage be released if i alone sign in discharge,because it is said that discharge and subsequent issuance of NOC would take place only if both the partners sign discharge. One of friends who is an advocate recommented against this move.He says that bank would simply collect the amount and would not discharge debt. The problem with my brother is that he is adamant in nature and he is not interested in taking money from my inlaws. Apart from that he thinks that my inlaws would grab the property.At this stage I want to know whether my advocate friend is right or not?

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Devajyoti Barman (Expert) 08 January 2012
This is a sort of a compromise and you can always do that since the case is still pending in the court.
Make a compromise petition stating all the terms and conditions as mentioned above and file in the court.
After the compromise the Bank ca not back track any more.

After paying the whole amount you can file suit to recover the half share from your brother.
So this not a bad proposal to move on.

Querist : Anonymous (Querist) 08 January 2012
First of all my query is how the discharge would take place without including my brother who is one of the partners.Because we created E.M. jointly and how would bank return title deeds of our property and no due certificate without including my brother. Is there any way out of this?

Devajyoti Barman (Expert) 08 January 2012
The reply is already given, may be you have failed to understand it properly.

You alone can pay the settled amount and later recover it from your brother.

You can file compromise petition in the court where everything should be written about the payment ,discharge of debt and return of title deed.

M/s. Y-not legal services (Expert) 08 January 2012
am agree with barman sir's view.,

-tom-

niranjan (Expert) 08 January 2012
You can give bond to the bank that if any dispute arises for releasing the documents to you alone,you will be responsible.The bank cannot have any charge on the document when the full amount is paid.One of the parties can redeem the property.

Raj Kumar Makkad (Expert) 09 January 2012
Compromise can be done as per whims and wishes of you even during pendency of all litigation.

prabhakar singh (Expert) 09 January 2012
Yes! opinions advanced are sufficient.

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