Dear Learned Legal Fraternity,
Ours is a company with banking facility of TL and CC totaling Rs. 2 Cr (o/s as on 31.3.2009), we have been servicing interest and repayment with some ups and owns. However to our surprise the bank has issued us a letter on 8.6.09 which states that "During closing activities of of 31.3.2009 you account has been made NPA as of 31.3.2004 for it being repeatedly restructures without improvement in the conduect of the account."
During the period 31.3.2004 to 31.3.2009 bank has reveiwed our account several times and increased limits and renewed last being in Dec 2008, only after being satistfied by the conduct of the account. Thus this udden measure is a set back. Also during this period 31.3.2004 to 21.3.2009 we have paid interest to the tune of Rs. 1.15 cr.
After which we started negotiation with the bank and have offered to compromise...during this begotiation process bank has issued notice u/s 13(2) on 19.8.09. All this while negotiatiobns are on and we have started to deposit some amount though cut back arrangement (totalling Rs. 15 lacs). We have given last letter of offer on 26.3.2010. However without replying to our letter or giving heed to our repayment of 15 lacs bank has gone to take symbolic possession of our asset on 8.4.2010.
1. Technically i feel Interest shoul dnot be charged after NPA
2. What should be our protection for further actions
3. What are the other things to note
4. What should be a healthy compromise.
5. How can we prevent the bank from publications...
Please reply soon, shall be obliged.
Regards
Subhankar
