How my father's debt will affect me
Hi
My father had lot of debt from different people because of his business. I was trying to help him to survive. One of his debt was on our house. He took 10 lack agree loan from a Govt bank on the house. He didn’t pay the EMIs properly for long time. So the bank issued possession notice in newspapers etc.
As it is our ancestral house, I thought i can take the house back from the bank by paying the dues. I paid 14 lacks to the bank after lot of difficulty and stress finally cleared my house from the bank hypothecation. After this my father changed the House+land to my name as “Settlement” registration.
Now the problem is,
My father had some business transaction with a moneylender acted as a partner in his business. For the business dealings he gave a blank cheque to the moneylender. But unfortunately/foolishly he do not have any records to the money/favour given to the moneylender. Now the moneylender cheated him and send a cheque bounce notice by filling 15 lacks in the cheque.
I heard that if the “negotiation” is not arrived the bank may issue seizure (“japti”) notice against if any property my father holds. But he do not have anything now. The only thing remaining is the house i just recovered from the bank.
In this scenario, Can i save my house back? Will my father’s “Settlement” registration hold in my case?
I am afraid that all my hard work may go in vain and i may be trapped by the greedy moneylender (kanthu vatti)
Please help me
-Kannan
4 Replies
Hello,
First you do give reply to the said legal notice given in Cheque bounce matter, within 15 days period(time limit must be complied with) from the date of receiving the said notice and wherein, you refuse expressly any liability to pay by disclosing the circumstances in which cheque was given. Thereafter You can contest the said cheque bounce case on merit, if filed by the other party.
Second issue of concern is with respect to property received by you vide settlement agreement.
As you said in your concern that the said property/house was your ancestral property. Therefore as per law, so much extent/share of property received by son/LR can be attached in execution of decree as has been received by the son being legal representative of his father. Apart from that which are his own property will not be liable against the debts of father. Though this provision is applicable in cases of legal representative.
In your case, all depends on the facts that how much genuine is the settlement agreement executed in your favour and whether your father can execute settlement agreement in your favour with respect to an ancestral property? This issue will certainly arise that settlement agreement is executed with ill motive to evade the liability to pay.
Hello,
My father took a loan against Property for Business 15 years back from a Govt. Bank. A year after taking this loan while my father was paying it back properly, others Customers of the Bank were not able to pay the Loan on time. So the bank ceased all the accounts and sent notice to all its customers just to pay back the loan quickly. My father was not in position to pay as he had suffered loss due sudden liquidity crunch. Later 8 years ago, Bank people took away our house furniture for Auction(eg TV, Refrigerator, cooler, etc). They havn’t sold our Property which is still with them. They are trying to negotiate with us to pay the loan and on the other side, they are preparing to do attachment of our house for the second time.
My father has made it very clear to the bank people that he is dependent on me as he has not been earning for almost a decade. And the house belongs to me now. But it looks like, Bank people will again come with police force to attach my home. Please help me to understand what can I do.
Thanks
Amit Kumar
Hi Kannan, I am also facing same type of problem and want to discuss with you possible solutions.
Can you please provide me you contact detailsto discuss the same.
Thanks
Mayank
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