Recovery of property.
Uday kumar
(Querist) 29 June 2011
This query is : Resolved
Hi,
In April 2010 we received a notice from bank that my grandmother was guaranter in a loan furnished in 1985.In this loan a paper of sale deed is mortge in favour of loan and loany becomes defaulter So,bank send this notice for settlement of loan.After, receiving this notice we enquiry about that property we found that this property was recorded in the name of other person according to local Karamchari record and in half portion of that said land a house is persent.Then how this property was recovered please help me?Is bank responsible for recovery of this propety?Before recovery we settle loan with bank or not,please help me?
thank's
AMIT SANKLECHA
(Expert) 30 June 2011
HI Uday
You matter seems bit complicated. As narrated by you, when your grandmother had signed as a guarantor for any loan & had created a right in favour of the bank, then the bank has the first charge/right to recover the dues in case if there is a default by borrrower & if he is unable to repay its loan. Thus by the virtue of the Mortgaged document , bank had acquired right to recover the dues from Guarantor, which cannot be denied.
Thus in regards of the name of the owner of the property, it doesn't makes any effect to the title, even if the name inthe property extract card has beeen changed. If the bank has executed a prior document of mortgage before the change in name, the bank shall have the first right to recover & hance the valid title of the land is also not transferred.
If there is a change in the holder of property, let the bank to take action against the acquirer, as the bank has a previous right to do the same.
Hope this clarifies.
Regards
Amit Sanklecha
