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himanshu gupta   12 June 2020

Kisan credit loan

My father has bought agriculture land and had kisan credit loan against it. Now my father has expired 8 years ago, and part of the land has been occupied by others and part of the land has been submerged under river nearby. post my father death, we deposited two times amount in loan, but loan account is NPA now.

Can we ask bank to directly sell the land and recover its dues? We do not want land anymore also can't get on authority of it . Please advise best possible solution for it.

Thanks


Quick Summary
A user's father took a Kisan Credit loan against agricultural land, which is now NPA eight years after his death. Part of the land has been encroached upon and another part is submerged. The user wishes to have the bank sell the land to recover the loan dues. Advice suggests contacting the bank's controlling office to explain the situation, as the bank has its own procedures for recovery, and to legally address any land encroachment.

 2 Replies

G.L.N. Prasad (Retired employee.)     13 June 2020

You need not direct the bank, and the banker knew the way to recover it.  Do not commit any thing and explain facts orally to concerned higher officer (Controlling office) and let his superior direct branch for doing needful for recovery.

1 Like

Dr J C Vashista (Advocate)     13 June 2020

Originally posted by : himanshu gupta
My father has bought agriculture land and had kisan credit loan against it. Now my father has expired 8 years ago, and part of the land has been occupied by others and part of the land has been submerged under river nearby. post my father death, we deposited two times amount in loan, but loan account is NPA now.Can we ask bank to directly sell the land and recover its dues? We do not want land anymore also can't get on authority of it . Please advise best possible solution for it.Thanks

You have stated that after purchase of agriculture land your father took loan through Kisan credit card, which he could not repay during his life time consequently it became NPA.

The bank shall recover the amount by disposal of land.

 You have further stated that the land has been encroached by others and none of you have any knowledge or objection, is it a true ? 

If so, remove encroachers by legal way through a local lawyer.

 

 


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