23 February 2020
Mr. Karimlala being the managing partner of a firm namely “GOLMAL” mortgaged a property in favour of the bank and deposited the partnership agreement, encumbrance certificate, and certified copy of the registered sale deed along with a letter informing the bank that the original sale deed was lost by one Dahood who was one of the partner of their firm. The bank failed to make relevant enquiries.
Mr. Dahood subsequently created an equitable mortgage on the same property in favour of Mr. Abusalem and delivered the original sale deed of the property to him. Mr Dahood had also informed Mr. Abusalem about the existing mortgage with the Bank.
Mr. Dahood failed to repay the money taken by Abusalem.
And Mr. Karimlala failed to pay the money to the bank.
The Bank has filed a suit against Mr. Karimlala and seeked for attachment of the property.
In the same suit Mr. Abusalem has impleaded as one of the defendant and counterclaiming the property against the Bank. Argue.