NPA IN NATIONALIZE BANK AND HOW TO ASK BANK TO WITHDRAW SARFAESI NOTICE.
Querist :
Anonymous
(Querist) 30 October 2010
This query is : Resolved
I AM AN EXPORTER.
IN MOTH OF DEC 2009 I MADE 2 SHIPMENTS TO FRANCE AND DID NOT RECEIVED PAYMENT FROM PARTY.
ECGC COVERAGE WAS NOT POSSIBLE AS DOCUMENTS WERE UNDER DISCREPANCY.
TOTAL VALUE OF EXPORT BILL WAS AROUND 22 LACS. AND I HAD OD OUTSTANDING IN BANK AROUND 7 LACS
PAYMENT WAS DUE FOR BOTH THE BILLS WAS IN MONTH OF FEBRUARY 2010.
IN MONTH OF APRIL I RECEIVED SOME OF AMOUNT 5 LACS.
AFTER THAT BANK REFUSE TO SUPPORT ME FURTHER AND ASKED ME TO CLEAR THE ACCOUNT IMMEDIATELY.
I TRIED WITH OTHER BANK BUT TAKE OVER DID NOT TOOK PLACE.
FROM MONTH MAY TO OCT 2010 I PAID AROUND 1 LAC RS. TO BANK AND GAVE THEM CONFIDENCE THAT I WILL REPAY GIVE ME SOME TIME.
BANK JUST SEND ME 1 LETTER TO CLEAR THE OUT STANDING AS SOON AS POSSIBLE.
AGAINST WHICH I REPLY AND ASKED TO MAKE A TERM LOAN AND I WILL PAY IN MONTHLY INSTALLMENT. AND I SHUT THE BUSINESS AND TOOK A JOB TO FULFILL MY COMMITMENT TO BANK.
MY BRANCH REFUSE SO I SENT A LETTER TO CIRCLE OFFICE.
MY BANK MANAGER CALLED ME AFTER THAT AND TOLD ME HE WILL SUPPORT BUT HE SENT LETTER SAYING I DID NOT FULFILL MY COMMITMENTS WHICH IS NOT TRUE.AND I REPLIED TO THE SAME.
AND THEY SENT ME SARFAESI NOTICE.I WENT TO MEET BANK BUT MANAGER REFUSE TO MEET ME.
I WENT TO CIRCLE OFFICE AGAIN AND SHOWED MY PLAN TO REPAY DGM AGREED AND ASKED ME TO GIVE THE SAME LETTER TO BRANCH.
WHEN I WENT TO MY BRANCH WITH MY FATHER
HE ASKED ME TO SELL OF PROPERTY WHICH I GAVE TO BANK AS CO-LETTER SECURITY.
WHICH IS ON MY FATHERS NAME AND HE IS GUARANTOR IN BANK.
NOW DGM SAID THAT HE CAN NOT HELP ME AS ACCOUNT IS NPA AND IF BRANCH IS NOT RECOMMENDING.
I HAVE ALREADY PAID AROUND 6 LACS IN 7 MONTHS TIME AND READY TO PAY AROUND 2 LAC IMMEDIATELY AND OTHER 5 LACS IN 1 YEARS TIME AND COMPLETE TOTAL OUT STANDING IN 3 YEARS OR AFTER YEAR IF CAN RE START MY BUSINESS IN 2 YEARS TIME.
THEY ARE DEDUCTING ECGC PREMIUM ALSO FROM MY ACCOUNT REGULARLY.
PLEASE GUIDE ME HOW I HAVE TO GO FURTHER.
R.Ranganathan
(Expert) 30 October 2010
You can approach an advocate since it involves complicated issues.
bhagwat patil
(Expert) 30 October 2010
what is the position of ur payment from france. r there any chance in near future u will get the payment.if u want to grow in business dont take PANGA with bank. whatever the officers r doing is the routine procedure,do not affread of it.u may call 09422773303
Querist :
Anonymous
(Querist) 30 October 2010
thanks
i consulted advocate they informed me that you have to solve the problem with bank.
as RBI gave right to bank to do so and sell the property.
i am not taking panga but what should i do he they are not convince all the higher authority is convinced but manager of branch not reasdy to agree.
i am expecting part payment of around 1.20 lacs in next week.
Shyam Ji Srivastava
(Expert) 30 October 2010
If higher officer of the bank is agree he may issue direction to the manager concern. you can also make a request for OTS. For the time being if you will deposit few amount you may get further time.
R.Ramachandran
(Expert) 30 October 2010
You say you made shipment in Dec. 2009 for Rs. 22 lakhs to France but did not receive payment. How come, did not the party open LC before you made the shipment? In any case whether you received the payment from France buyer or not and what are the chances of getting the money from France. You did not answer this particular questionof Mr. Bhagwat Patil.
Shyam Ji Srivastava
(Expert) 30 October 2010
You can also approach High Court by way of writ for instalments etc.
Kirti Kar Tripathi
(Expert) 30 October 2010
Normally the High Court not interfere in the matter and asked the party to approach DRT for appeal but in case, you are not denying your liability and ready to make payment, you can try for mandamus directing to the Bank to receive the amount in instalments. I think, HC court may allow your prayer.
s.subramanian
(Expert) 30 October 2010
Once the Sarfaesi proceedings having commenced the high court and other civil courts will not and cannot interfere. Whatever be your objections,you have to go only to DRT under Sec.17 of Sarfaesi Act. Before that you can send your objections in writing to the Authorised officer who issued the Sarfaesi notice to you.
DEFENSE ADVOCATE.-firmaction@g
(Expert) 30 October 2010
First you issue a notice to the lender giving as many objections as possible which they have to reply withing seven days.
Other courts have no jurisdiction above loans of two lacks from authorised financial lenders so you have to go to DRT., AND appeal to DRT appellate authority.
There are no of formalities which lender has to take and they bunk as a rule in over confidence so you may get some time from DRT.
You can also raise counter claim before DRT but supported by evidence of your hardships and if you are ready to do all this the lender will have to face legal music and you may get breathing time.
J. P. Shah
(Expert) 30 October 2010
DRT and then Appellate DRT are appropriate forums for agitating. You can also represent first to the authorised officer u/s. 13.3A to reconsider and decide for payment in installments. If your past record is good, bank will consider this option.
Please also visit www.bankdrt.com, www.bankdrt.net and www.drtsolutions.com
Querist :
Anonymous
(Querist) 30 October 2010
i made 2 shipment in month of dec and jan 2009/2010
documents were against l/c and documents were with discrepancy.
against 1 bill i paid 30% discount to my client as goods were late.
2 nd document buyer refuse to take delivery as they are going through bad financial crisis
there are no possibility to receive payment from France but i soled some good to Saudi and expecting small amount of 1.5 lac if buyer will be able to sell more goods i will be able to get some amount recover.
please explain when account can be declared NPA.
Querist :
Anonymous
(Querist) 30 October 2010
ECGC CAN NOT COVER ME AS DOCUMENTS WERE DISCREPANT.
Parthasarathi Loganathan
(Expert) 30 October 2010
Pls. state as to who are the Negotiating Bank, Confirming Bank and Correspondent Bank. Terms and conditions stipulated in the Letter of Credit by the exporter need to be explicit.
