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BS Rangi (President)     13 June 2021

Bank asking for permission to mortgage from coloniser


We are living in private colony duly approved CLU by Dept of Town and Country Planning of Haryana.

NOC Clause. Order dated 13.07.2017 of DGTCP Haryana strikes down clause of NOC from freehold houses/plots fully paid up.This order was given by Dir General Town and Country Planning Haryana , where RWA members and MD /owner of this colony (Amravati Enclave, Panchkula ) were present during hearing of RWA complaint .  Para 5 (w) Reads as under :-

  5 (W).  NOC clause in the Plot Registration  Conveyance Deed. The coloniuser has incorporated a clause in the Plot Registration  Conveyance Deed ,wherein it is mandated for a plot owner to obtain NOC from the coloniser before transferring /selling it. Due to this condition ,the coloniser imposed various types of levis. Such binding by the coloniser is against the Supreme Court ruling given in CA No. 4908 & 4911 of 2002.

The colonizer informed that the practice of NOC is being followed as is being done by HUDA (Haryana Urban Development Authority) in its sectors,so that no allottee sell the mortgage property ,if any, till repayment of the loan obtained any financial institution.

The colonizer cannot claim any such parity  with HUDA. Accordingly , the coloniser is directed to remove this condition of NOC from the agreement.

State Bank of India ,while granting loan to owner of house in this private colony is demanding letter of Permission to Mortgage from coloniser.

RWA members who toiled for years for getting  above NOC ruling cannot be pushed into lap of coloniser for Permission to Mortgage. Coloniser demands levis in lakhs from such owners of house who apply for loan etc. 

This amounts to denial of loan to a person having own free hoild property. My query is :-

a. Is bank right in asking  Permission to Mortgage from an authority who has been told to remove NOC clause.

b. Should  not bank rely/be satisfied /assured  on the property being mortgaged while obtaining loan of 10-15 lakhs on free hold house worth crores.

c. Can a case be taken up with Ombudsman to obtain ruling on granting loan on free hold houses ?

Please Advise.     


 2 Replies

Sankaranarayanan (Advocate)     13 June 2021

Submit your query by short 

BS Rangi (President)     13 June 2021


SBI is demanding letter  from coloniser  ",Permission to Mortgage " to grant sanction personal loan on free hold house. Govt orders exist that no NOC is required to transfer the house. Then why should bank ask for permission from coloniser .

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