Sameer Narayan (Director) 23 October 2020

Siphoning off bank loan fund for personal gain

I need support from legal expert based at Patna Bihar.

During 1999 the 2 directors of private limited company had siphoned off bank loan fund to purchase residential land in their personal name. Subsequently the bank loan of said company was categorized as NPA and referred to DRT Patna on 26-11-2001.

Bank is not interested in to take follow up for such old NPA. It seems DRT Patna too is not interested in to pursue for such old case. That is, no one is interested in to recover the outstanding bank loan amount from the Wilful Defaulters.

I want to take corrective actions to clear the bank outstanding.

I need support from legal expert for how to proceed ahead with such long delayed case of siphoning off bank term loan fund for individual benefits and where bank & DRT Patna both are not much keen to recover the bank loan outstanding.

Please PM me your suggestions so that I can explain more about my situations & requirements.

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Quick Summary

A private limited company's directors allegedly siphoned off bank loan funds in 1999 to buy personal property, leading to the loan becoming an NPA and referred to DRT Patna. The bank and DRT appear inactive on this old case. The user seeks legal advice on how to pursue recovery from wilful defaulters, especially given the bank's and DRT's lack of interest. A suggestion is made to approach the High Court via a writ petition under Article 227, but the petitioner's locus standi and personal interest in the matter would need to be established.

3 Replies

Suri.Sravan Kumar (senior) 23 October 2020

you can approach High court by way of writ petition.

Vijyant Nigam (09807349001) (Advocate) 23 October 2020

how you are connected with the said matter? what is your locus? how you are suffering?
what's your personal interest in hauling up the wilful defaulters?
on what basis you are alleging the DRT (judiciary)?
High Court can direct the DRT to dispose of the matter within some supported period under article 227 of the Constitution of India. but the same requires your locus standi in the matter