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mani singh (proprieter)     05 January 2011

Interest recovery from my illegal lien saving account

Sir,                                                                                                                                                                                             Axis bank ltd had imposed illegal lien on my saving a/c in Aug 2010 & foRs 55000 against credit card dues.For that BO had passed an order against bank on 30  NOV 2010 . The bank is advised to re-credit the amount recovered from S.B a/c  of the complaint as this arrangement of marking lien on the customers S.B a/c in case of default of dues was not made known to the customer by inserting it as term in the MITC.Action taken towards the above by the bank should be immediatly advised to this office.                                                    On 30 Dec 2010 I have setteled credit card dues in 32500 & recovered Rs 21789 from bank after written communication  .                                                                                                                                                               Can I recovered interest on Rs 55000 also suggest me can I demand mental harrasment charges from bank & in what way ?         From Manjeet Awal Mob 9229589753 e mail                                                           



 3 Replies

shrikant chede (law officer)     06 January 2011

you can file complaint against bank in district consumer griviance  redressal  forum

M.S.Bhalerao (advocate)     28 January 2011

Mr. Manjeet Singhawal.

Banks have right of General lien and right of set off to recover the dues from account having credit balance. only condition to be fulfilled by the bank to ensure that bothe the credit and debit accounts are of the same person and in same capacity.

MANOJ GUPTA (MANAGER)     12 March 2014

One of my friend in a psu bank has been chargesheeted for misappropriation of funds and presently Disciplinary action is going on.

He also had a Savings Account as well as some FDs in another bank.

The employer bank has put a lien on all his accounts as well as written letter to the other bank to put lien on his account.

The other banks (without any court order / Garnishee order) , based on letter from the employer bank set lien on his savings account as well as fixed Deposit.

As per my limited knowledge of banking law, the bankers' right to lien does not apply in case of matter pertaining to any other bank, unless there is a specific order from court or any other authority like income tax attachment order / sale tax / excise etc. But In this case there is no such order.

Therefore the action putting lien by another bank (based on letter from employer bank) may not be legally tenable.

Experts please confirm or deny this. Please also enlighten the relevant section of the particular banking law which would apply here.

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