Claim of a bank

MARIMUTHU P (Querist) 06 January 2012 This query is : Resolved
Dear Brothers,

Please clarify:
A bank is claiming from a client that an amount of loan was credited in to his account and there is some debits also from that account towards the instalments, as claimed by the Bank. But the client is confirming that he has not executed any document like pronote, agreement and any cheque or ECS authority given to the Bank.

Can the the Bank proceed against the client just with the entries in his account without the basic documents?
MARIMUTHU.P
New Delhi

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Shonee Kapoor (Expert) 06 January 2012
No the bank can not proceed against the person without an agreement/ form for application of loan.

Regards,

Shonee Kapoor
harassed.by.498a@gmail.com

Raj Kumar Makkad (Expert) 06 January 2012
The action of the bank is entirely against the Banker's Law. This is fittest case wherein a strong complaint can be made before RBI as well as bank ombudsmen for initiation of strong legal action against responsible (say irresponsible) bank officials and for damages also.

Devajyoti Barman (Expert) 06 January 2012
Repeated query.

prabhakar singh (Expert) 07 January 2012
It is unauthorized act of the Banker,may be intended to keep limitation running and extending all the time so it is better to write them raising it as issue and objection without delay and all balance money should be withdrawn.The relevant objections before RBI & ombudsmen should also be raised.

malipeddi jaggarao (Expert) 07 January 2012
If your client has not executed any security documents, not requested for any loan, mere action of the Bank crediting your client's account as purported disbursement of loan, and further if the all the debits are towards EMI effected by the bank itself, your client is not a party for such loan. Bank can not do anything. If there is any request letter, and if your client used the money by withdrawing himself or by giving cheques, though the security documents are not executed, bank has a claim over your client which is disputable.