make an offer for one time settlement
2) make down payment of x amount
3) offer to sell one property and sale proceeds be deposited directly in bank account
Physical possession of agriculture land
Sir, i am poultry farmer from aurangabad , maharastra. I have taken loan of 116 lac from maharastra bank in 2012. In 2013 i faced huge loss due to which my account became NPA. I went to bank with various customer to sell my property but each time they deny the offer by saying valuation of property is high according to them. Now they have taken physical possession of my unit. It is agriculture land and they not allow me to work there. I have three property morgatged to them. They are offering 85 lakh one time settlement scheme. I told them l will pay 30 lakh just release one property and will help u to sell other. I can't bring all 85 lakh at once. My whole depend on me. I am not understanding what should I do? Please guide me
Asked 5 years ago in Civil Law
13 Answers
Dear Client,
Creation of security interest on agriculture land is not permitted. How come bank took possession of your land. File petition in DRT.
1. SARFAESI Act is not applicable on agricultural land as per section 31 (i) of the said Act.
2. So, the Bank can not take physical possession of the said agricultural land mortghged with it as per SARFAESI Act.
3. You can file a SARFAESI Application u/s14 of the Act before the DRT to get the said agricultural land released by the Bank and thereafter proceed for settlement for other loan accounts amicably.
As per your query, you can do "settlement" with the bank. You will have to pay back the loan that you took from the bank. You can request the bank authorities to grant you some more time to pay off the dues after selling one of the mortgage property.
the bank cannot take possession of agriculture land,
you are advised to send them an offer for making payment and send a copy to the higher officials of the bank,
You need to carry out settlement talks with bank else you need approach court for taking appropriate directions for the bank with your settlement proposal
Hello,
Please explain the facts and dates in detail?
What all proceedings were initiated against you?
Have DRT passed any order till now?
I would advise you to visit some lawyer with entire set of documents who may then help you in getting the matter resolved through appropriate court of law.
Regards
You can contact to head branch loan department head and keep your proposal and time frame or you can NABARD or agricultural department of Maharashtra to take care further under various schemes of farmer and clear the loan or atleast interest of the loan.
Contact agricultural ministry as well.
You may approach DRT for relief and remedy.
You may seek an injunction against the bank restraining them from taking possession and selling the property on the grounds you rely upon in the suit that may be filed
Once account is classified as NPA then lender demands whole amount by issuing the demand notice u/s 13(2) of SARFESI Act therefore if once the account is classified as NPA it cannot be regularised or recovery action cannot be withheld on partial payment of loan amount.
Further it is also pertinent to note that land should be in agricultural use to bring it in the bracket of agricultural land as provided in SARFESI Act.
Therefore it is advised that you should make a proposal to bank by depositing certain amount and should take buyer to bank who is ready to purchase the mortgaged land in amount equivalent to loan amount or the higher amount so that bank can make its recovery.
Take all the facts on paper and move an application to the bank to the effect if they don't reply or pass adverse orders and you are ready to pay Rs.30/- Lacs so go to the consumer court on the basis of the recent order for deficiency in service and pray from the court to settle the matter otherwise bank will not help you in absence of order to the effect from the competent court.
Dear Client
You should get the time to find the buyer by paying 30% settlement amount.
After that you can find buyer and ask bank official to make the sale even if market price is high.
- As per the information mentioned in the present query, makes it clear that your property has been taken over by the bank.
- Yes, this cannot be the case they don’t listen to the offer of the customer also when he is ready to clear the dues.
- You should file an application before the DRT seeking immediate direction to bank to think over the offer made by you.