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raj malhotra (M.D)     06 October 2011

Urgent advice needed

hi members...

                          one of my friend has taken home loan on his house for 70 lacs he was unable to repay the loan ,bank was going for auction of his house ...but my friend settled this matter for 70 lacs and asked for some help from me...i gave him 10.5 lacs rupees but as a security i took full n final agreemnet of 15 percent share of  his same house ...this agreement shows that he has sold 15 percent of this house to me in lieu of 10.5 lacs...out of this 10.5 lacs i have done part payment by cash and part payment by a/c payee cheque....but when he went to bank with 70 lacs bank refused to release his house n bank demanded 85 lacs my friend has entered in to a dispute with bank and has filed a petition in civil he wants to get his house released for 70 lacs rupees and he is saying me to wait for this dispute to get over but i want my money what i can do in this situation, how to deal with it????

suppose if he remains in dispute wid bank wht i can do in such situation and if he gets his house back can he sell it or get loan on it without my consent???thanks  in advance members...


 5 Replies

Raj Kumar Makkad (Adv P & H High Court Chandigarh)     06 October 2011

An agreement to sale pending the property under mortgage with bank is illegal. It is better to get the agreement registered mentioning therein all facts viz. responsibiliy to get release of house from bank, civil dispute etc. etc. if you want to really help him.

1 Like

Shailesh Kr. Shah (Advocate)     06 October 2011

I do agree with Shri Raj Kumar Makkad.

Edwin Jerome (Advocate)     06 October 2011

If you wanted to help your friend then you better wait till the bank dispute is over

how can one enter a sale when a property owner is not your friend but bank until mortgage is over... indian mentality being educated try to cut corner surpassing legal mechanism... chaltha hai... chalao... chalo court chakkar...

Hari.R.S (Advocate)     06 October 2011

Bank has lien over the property.  only after settling banks dues, your friend get better title.   Civil dispute may take years. so better to recover your money at the earliest.  

moreover if the agreement period is not specified  nor the price is not clearly mentioned then  your friends may hike the price for his house .

so better quit this deal.

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