Sir,
At the time of my dismissal in 2009 from the services of a nationalised bank ,outstanding in my loan accounts were under
Housing Loan : Rs.4.75 lakhs @11% per annum simple interest half yearly rest
Staff Overdraft : Rs.3.50 lakhs @ 10.75% per annum monthly rest
My terminal benefit was Rs.3.50 lakhs
In December 2012,bank issued a notice under SARFAESI ACT that if I don't repay Rs.5.26 lakhs within 60 days,bank will take possession of my house and auction it to recover bank's dues
Immediately I wrote to the bank as under
1. My WP against illegal dismissal is pending in High Court .till then,Bank should not take proposed action
2. Bank has converted my staff housing loan into general public loan and interest is being charged at higher rate without bringing it to my notice
3. Bank's claim that I have not responded to Bank's several repayment notices is wrong
4.Bank has to wait till the outcome of WP
bank wrote me back that bank is not going to consider any of my submissions and went ahead
Exactly on the expiry of 60 days,bank has taken symbolic possession of my flat and pasted a notice on the door that property now belongs to the bank
In June,2013,my retirement benefit of Rs.3.50 lakhs was settled and entire amount was credited to my housing loan account
Now,present outstanding is Rs.2.00 lakhs approximately
Bank has not taken any further action on my house property till date after taking symbolic possession
Now,the notice was issued to me under SARFAESI is only for housing loan
Overdraft account documents are timebarred
Terminal benefits are already settled
I want to settle the housing loan by repaying whatever outstanding with interest
Can I repay the entire Housing loan at this stage(No auction notice is published in the news paper)
House property is not attached to overdraft account 9 Only terminal benefit was attached)
Can the bank proceed with the action under SARFAESI ACT even if the housing loan account is cleared
Kindly clarify this point
