Securitisation Act-Instance of Misuse

sir,the bank has initiated  proceedings under securitisation Act against me for non-payment of loan installment after  wrongfully terminating me from service. the loan was sanctioned to me under staff category at concessional rate and repayment was used to be deducted from my salary. After wrongful termination from service, the matter is before the High Court and now is at final stage of hearing. during this process I was out of salary and hence my loan  was treted as NPA on account of non-payement of installment linked to salary.  despite my request bank is continuing its proceedings for symbolic possession under the ACt. I am unable to pay any amount due to severe financial problems. I am requesting the bank to wait till the disposal of the case before the High Court of Karnataka which can decide about my reinstament and backwages so that incase of favourable order, I can pay out of the backwages towards the overdue.morevoer, I am requesting the bank to adjust the overdue from my PF Balance laying with the bank. since the bank had taken Lien on my PF at the time of relaese of Loan so that I may be relieved of my immediate possession of, i am in fix since the bank is neither waiting till the dispoal of the case before the High Court nor giving me my retirement benefits . they are maintaining that PF is additional SEcurity and the case before the High court is independent action and can't be linked to Securitisaiton Proceedings.What are my alternative ? kindly advise with any decision of the earlier court judgement.can the bank continue its proceddings when the matter of employee and employeer relationship is penidng to be decdided. since the Loan was sanctioned under staff Category and that relationship of staff and the bank is in dispute. please advise.          

Forum Moderator

In case you feel that the proceedings inititated under the  securitisation act is illegal, you can seek for a stay in the penidg proceedings in the HIgh Court




Your are not logged in . Please login to post replies

Click here to Login / Register  


Search Forum:


  LAWyersclubindia Menu