Mortgage release.
khalid masood
(Querist) 17 June 2012
This query is : Resolved
My client has given 2 properties as collateral security to a nationalised bank for availing some overdraft facilities. His has been a loan account for the last ten years. His loan account has been classified as NPA for the last one and half years and bank has tried to sell his properties in public auction after serving SARFEASI notice,but it could not succeed due to want of buyers. My client has got customer for one of the two properties and hence he took him to the bank and asked for redemption of that particular property.But bank is against this proposal and suggested that unless he brings customer for both the properties they cannot release the mortgage.When my client pointed out that 75% of the debt would be cleared by selling of this one asset and he would bring customer for the second asset after some time they did not budge. They seem to have told my client that partial release of mortgage is not possible as rules do not permit them.Can any one of the experts throw some light on this issue. When my client persisted with his demand saying that principal along with interest is accumulating bank was ready to accept this proposal but refused to release the title papers of that property and also says that they would not issue mortgage discharge letter pertaining to that property. More ever he was told that they would release the title papers only when both the properties are sold. My question is whether partial discharge of mortgage is possible or not? Why cant bank give title deeds and NOC for this particular property? Thanking u in advance.
Shonee Kapoor
(Expert) 17 June 2012
Persuade, the bank would do so, approach senior officers. As NPA is being monetised, they would find a way. The Bank can sell the same directly to the buyer.
Regards,
Shonee Kapoor
harassed.by.498a@gmail.com
khalid masood
(Querist) 05 August 2012
I tried every possible method to get over this problem even the higher officiials are not helping me out in this regard. I solicit the responses of our esteemed panelists Mr. Makkad MR.Raju, MR. Arunagiri,Mr.Sethi and Mr.Lahoti.
V R SHROFF
(Expert) 05 August 2012
It is at the discretion and pleasure of Bank.
u hv to accept bank decision
ajay sethi
(Expert) 05 August 2012
bank is playing safe . it will not release the collateral security unless the loan has been repaid . it knows tht as long as they have the collateral security it would be able to recover its outstanding dues . bank wont accept release of one property
make an application under one time settlement scheme . pay some 10%and offer to pay balance in install ments .
