Assistance required related to cgtmse npa

Hi i want some advice , i started a company in 2016 march with the help of my bank under the cgtmsc scheme , the actual project cost was 70 lacs but the manager sanctioned only 32 lacs which is hardly 50% in few installments but he promised me ( nothing written approval ) to give working capital loan but from dec 2016 i am requesting him to sanction me working capital of 10 lakhs but he kept on delaying and now the situation worsened and i have huge loss in my restaurant business and had to use the entire saving , credit cards , personal loan and every penny to safe guard till now but now i have nothing left every debtor is chasing and cibil is spoiled and all cards are cancelled and every credit card company is following and now today my car loan account turned into npa which the same bank has provided and now they are saying even your company account will turn npa ?? Is it true and if then what os the way out as i have no money to repay and bank can takeover only the equipments which i bought from their money but after 1 year of using there value will not be even 20 lakhs then how bank will recover rest of the money or is there any way to get a small loan of 10 lakhs from the bank so i can turn this into regular . The new manager told me to regularise then we will think about it . But i know he will not be able to as my cibil is gone because of various defaults due to the loss in the business and to keep it running i was using my credit cards , pl , etc . So how to come out of it and how to make it better again . I am not a wilful defaulter and i want to pay but at the moment i dont have any money . So help me out .
Retired employee.

The normal practice is sanctioning Term loan and working capital at a go in one sanction letter.

Under capitalization destroyed your business and in case of FMCG like hotel, where there are no credits for sales, and credit from shops are available, no one can judge, where there was the blunder.

Issue a notice to Bank for releasing working capital loan as per project report, and then file a complaint in consumer forum for deficiency of services and killing an enterprise and seeking compensation for the loss suffered.

(This is a lesson to entreprenurs that term loan should not be utilized unless there is a working capital sanction)


Alternatively you can bring in a working capital partner and develop the business.




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