• Stay under order of DV in section 14 of SARFAESI Act

I have a NPA Account in central bank of India worth 2.5 crore which became NPA on 30.5.2016 and bank issues 13(2) notice on 1.6.2016 and took symbolic possession of properties after 60 days on 1.8.2016 . 
I approached DRT on 27.8.2016 for interim relief under section 17 and dates kept happening. Bank published auction for 6.1.2017 and since no bid came my stay application for interim relief became infructous . Later again bank published auction notice for 21.3.2017 and again due to no bid i got relief and interim relief application became infructous and DRT asked bank for OTS as i am willing to pay and to report for objection on 21.4.2017 .
But meanwhile bank also filed a civil suit in DM court for police help in physical posession and i appeared in all dates but i missed one date of 15.3.2017 and DM gave ex-party order to SP and SDM to assist bank for physical posession . 
Now bank is approaching fastly for physical posession and has given me one week time to vacate properties otherwise police will be used. I have filed again STAY AND INTERIM relief application before DRT and hearing in court of presiding officer is on friday . However since DRT also issued OTS order on 21.3.2017 after DM order of 16.3.2017 , DM has instructed LDM - LEAD BANK MANAGER to look into matter and to give timeline as directed by DRT for OTS but LDM is saying he has nothing to do and interfere in my matter. 
My bank manager is very cunning man and he is doing all this in personal envy and ego between me and him . That's why no communication with bank is of any help.He js going to be retired in june and i hope i will settle my money by october this year after selling my one property.Now i have DRT hearing on Friday and bank has given me a week time by letter dated 21.3.2017 ,so i have five days in between what i can do to avoid my physical posession. If bank takes physical posession on tuesday can i still get stay and reposession by DRT on Friday . And if i have not vacated house still can bank throw me out of my showroom and home on friday if they wish ?

I have following questions - 

1. Can i get stay order by DRT against DM order ?
2.Can i ask for recall of DM order in DM court?
3.What is way to do OTS with bank and can i get any waiver in my total loan account ? Someone told me that interest that i have deposited in past Two years can be adjusted in principle amount .
4.Is there any other thing bank can do against me if i can get stay order against DM order of section 14 ?
5.DM gave order under section 14 on 16.3.2017 is there any time period rule after which Bank can do proceedings against me?
Asked 6 years ago in Civil Law

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9 Answers

1. In section 14 proceeding getting stay order is very difficult .Only on the limited ground to depositing money on non service of notice the saty can be granted by DRT or High Court

2. DM can not recall its own order unless it fund fault on technical ground.

3. Talk to bank and file a compromise petition in DRT on final amount and deposit the same within the time asked by DRT. Once that is done you will get chance against physical possession of your proeprty.

4. If stay is allowed bank can not take possession of the proeprty anymore.

5. No.

Devajyoti Barman
Advocate, Kolkata
22920 Answers
498 Consultations

5.0 on 5.0

1. challenge the order of the DM before the Lucknow Bench of the Allahabad High Court, if there is a possibility of the same on any ground.

2. DM court can not recall its own order.

3. Yes that can be adjusted, and that is upon the bank to settle the terms of the settlement/ OTS.

4. No if you get the stay then the bank can not do any thing.

There is no specific time period.

Let me know if I can be of some help, we have a dedicated team of lawyers working in Lucknow

Regards

Anilesh Tewari
Advocate, New Delhi
18079 Answers
377 Consultations

5.0 on 5.0

1) DRT can stay order of DM . you have to file appeal against order of DM under section 17 of the SARFESI act

2)it is for bank to accept your OTS offer

3) you would not get waiver of total loan account . at most some part of interest may be waived

4) order passed by DM cannot be recalled by him

5) if you get stay order from DRT bank can file apeal against order before DRAT

Ajay Sethi
Advocate, Mumbai
95215 Answers
7611 Consultations

5.0 on 5.0

Dear Client,

Bank has given me a week time by letter dated 21.3.2017 - ? Acc. to dates, ur case is already expunged.

What is the present status of case.

Supreme Court in Kanaiyalal Lalchand Sachdev and others Vs. State of Maharashtra and others3 and also the subsequent decision in Harshad Govardhan Sondagar (supra), an appeal is maintainable against the order passed under Section 14 of the SARFAESI Act before the Tribunal under the provisions of Section 17(1) of the Act.

1. Can i get stay order by DRT against DM order ? - File appeal

2.Can i ask for recall of DM order in DM court? -- Can tr, rare possibility.

3.What is way to do OTS with bank and can i get any waiver in my total loan account ? Someone told me that interest that i have deposited in past Two years can be adjusted in principle amount . -- Bank needs its money back, get stay from DRT, and by mutual discussion, come into settlement. Principal amount only.

4.Is there any other thing bank can do against me if i can get stay order against DM order of section 14 ? - no, appeal against the said order only.

5.DM gave order under section 14 on 16.3.2017 is there any time period rule after which Bank can do proceedings against me? -- 45 days.

Ur dates are confusing, its 2018 now

Yogendra Singh Rajawat
Advocate, Jaipur
22714 Answers
31 Consultations

4.4 on 5.0

Since CENTRAL BANK OF INDIA is public under taking bank...so you may file a writ petition before Hon'ble High Court for interim relief. But you must have been showing your Bina fide.

Raj Kumar Mishra
Advocate, Allahabad
172 Answers
2 Consultations

4.5 on 5.0

1. it depends on your financial position. if it is bad then there is possibility.

2. you can appeal.

3.this depends on policy of bank

4.no.

Arnab Kumar Banerjee
Advocate, Kolkata
112 Answers

4.0 on 5.0

1. Since the DRT has given instructions for OTS, the bank has to obey the orders of DRT, so you have to approach DRT for stay once again.

2. Order of DM is a different subject, once you get a stay from DRT then the DM's order cannot be implemented.

3. These things are to be discussed before the DRT only and not with the bank because the bank is not cooperating.

4. The bank cannot proceed with the DM's order if there is a stay by DRT

5. The bank has to implement the orders immediately or on the instructions given in the said order.

T Kalaiselvan
Advocate, Vellore
85416 Answers
2239 Consultations

5.0 on 5.0

You immediately approach to the High Court  wasting a single time I can help you in that as I am also lawyer at Highcourt

Atul Shahi
Advocate, Allahabad
160 Answers
1 Consultation

4.6 on 5.0

Hi, you can approach DRT or the HIgh Court (under writ jurisdiction) to get the DM order stayed and set aside. You have to project OTS as ordered by DRT and during OTS with bank you need to bargain and get maximum waiver with the bank. It has been seen that in order to get NPA cleared, the banks are giving waiver in interest rates. Once you get orders from higher authorities, the bank may not able able to go harsh against you.

Ganesh Singh
Advocate, New Delhi
6757 Answers
16 Consultations

4.5 on 5.0

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