I purchased a car from a company. The company has not paid the bank as the car was hypothicated to bank.I was assured of transfer by paying up the bank. I have been following up for 2 years and am informed today the car will be seized by the banks. I have all documentation evidence. what is the process I should follow.
Asked 3 years ago in Criminal Law from Navi Mumbai, Maharashtra
You should never have purchased the car if you knew at the outset that it was under hypothecation. Since the car was hypothecated it could not have been freely sold by the company (debtor) without the consent of creditor. So the bank has a charge on the car till debt is not fully paid.
You have the following options:-
1. Give a legal notice to the company stating that the company had cheated you by giving a car which was hypothecated to the bank.
2. File a criminal complaint or FIR against the company under section 420 IPC STATING THAT THE COMPANY HAD CHEATED YOU.
The above might help you in getting your money back, but as far as the bank is concerned there is not much which can be done for stopping the possession of the car.
it is your mistake for having purchased a car that is under hypothecation. however, you can initiate action against teh company for having not paid the amount.
u can open & seek remedies against company. but bank take action against car
Advocate, Greater Noida