Requesting to clarify the doubt in consumer law
gopal
(Querist) 03 November 2014
This query is : Resolved
Respected Experts,
My father and his younger brother got Two loans in 1986 for buying a tractor(jointly).
On 1989 there was a partition ,during the partition the tractor was allotted to my father's younger brother and he was asked to pay the loans.
on 1989 my father got Jewel loan from the same bank individually .
later on 1992 the bank issued a paper notice that they bring the jewel for auction ,the loan persons and pay the full amount on or before the auction date.
my father paid full amount one day before the auction date
Then my father asked to return the jewels, the bank refused to return the jewels because my father is one of the party in other two loans for buying the tractor in 1986.
To recover the tractor loan they have filed the recovery suit in Sub-Court
During the trail of the recovery suit the court ordered to attach the tractor , in this situation my father's younger brother has given a agreement to the Court he will be the responsible for the said loan.
later the bank authorities failed to followup the recovery suit so the recovery suits are dismissed.
Having known this details i have filed a consumer complaint against the bank in
District Consumer forum that they do not have any rights to keep the jewel.
They have filed reply that my father is a chronic will full defaulter.
The district consumer forum denied their plea and ordered in favour of us.
Then they gone appeal for inordinate amount of delay the state commission allowed the delay without proper reason.
So we have filed revision petition on National commission , now the bank authorities were gone through the tractor loan records and now they have given no due certificate that there is no due in the said loan accounts.
My father fully paid the Jewel loan on one day before the auction date of Jewels.
And the tractor loan accounts also there is no outstanding , In this situation the bank told that my father is a Chronic Will full defaulter.
Even after paid the loan amounts full, without any outstanding.
1) Is it legally accepted that my father was called as a Chronic Will full defaulter by the bank.
my father got the jewel loan and paid full and the tractor loan also no outstanding, in this situation the bank filed his reply that my father is a Chronic Will full defaulter
2) Do i Consider this as deficiency in service by the bank.
Even though he paid full loan amount ,the bank spoiled my father's moral status and good image in the society
3)Will it comes under the Consumer law proceedings? do i proceed Consumer proceedings against the bank.
What i can do in this regard kindly guide me because my father is a illiterate innocent farmer so I am trying to erase unreasonable black mark on him.
Thanks and regards
ajay sethi
(Expert) 03 November 2014
1) no your father is not defaulter .
2) you should not take any further proceeding against bank .
3) just recover jewels from bank as per orders passed by national commission
gopal
(Querist) 03 November 2014
Respected Ajay sir,
Thanks for your advice and information.
you told that my father was not called as a defaulter legally ,but they have filed in their written statement and affidavit that my father is a defaulter even he paid full amount how they called like that
They were destroyed my father's social status and moral value, what is the remedy for that
is there no way to compensate this
kindly guide
ajay sethi
(Expert) 03 November 2014
the reason why i advised you from further litigation was you would end up spending more time and money in running around courts . since your father had paid money before date of auction of jewels he was not a defaulter . your father was not liable for brother loans
gopal
(Querist) 03 November 2014
Thanks a lot sir I understand now
regards
gopal
ajay sethi
(Expert) 03 November 2014
thanks for your appreciation
R.K Nanda
(Expert) 03 November 2014
no more to add.
Rajendra K Goyal
(Expert) 03 November 2014
The Bank has alleged in the court that your father is a chronic defaulter.
a) Your father was a co-borrower in tractor loan which was not paid in time.
b) Bank has to proceed legally for default.
c) Bank is not at all concerned, in its eyes both borrowers are defaulters if the installments are not paid in time
d) Bank was right in not returning the pledged ornaments due to its right of general lien.
e) If you proceed, Bank may succeed in proving the default.
f) Court has not decided regarding the fact of default, hence you should avoid any step.
gopal
(Querist) 04 November 2014
dear goyal sir,
thanks for your information.
i hope you did not understand what i told .
when they are filing the written statement and affidavit there is no due as per the records in jewel loan and tractor loan.
in d) answer you have told bank was having right not returning pleged jewels, i agree ,but when , if there is any due in jewel loan
but we have paid full then how they have general lien.
they were kept for tractor loan which is entirely different loan borrowed in different time with his brother so it is a co-borrowed loan.
that tractor loan they have choosen file case to recover the loan amount, after 10 years the case also dismissed for non procecution by the bank
in this situation ther is no due in jewel loan we already paid and now the bank issued the no due certificate to the co-borrower my father's brother which means the two loans are no due then how they can say will full defaulter ,so kindly understand and give the advice
thanks and regards
gopal
