Legal Question in Banking Law in India


I have purchased a property through e auction from nationalized bank. They have given me sale certificate stating physical poccession has been handed over to me which is registered as well. During the time of poccession Bank started saying the defaulter has filed a case against bank and they cannot give the poccession until it is decided.

They asked me to take the pocession if i need it since it is already vacated. For me to be safer side I captured the video and photographs during poccession and submitted it to nearest police station as well. There were some scrap items left by previous owner which I locked into the room and safegaurded so that when he comes I can hand it over to him.

I started with some modifications in the house since it was not in a good condition. Its been already three months over. Defaulter suddenly went to DRT and has told that the building is getting demolished and he required stay order and also cancel the sale certificate.

Is it possible to cancel the sale certificate which is registered?

If it is cancelled will I get back all the amount including registration and also that I have spent for construction?

Bank is guiding me to go for some settlement outside of court with the Defaulter which I do not want since he is demanding me huge amount. I feel bank is playing some game here.

Till now I was not a party in the case and now I came to know that they will be soon including me in the Respondant list

Please guide me If I will get the money which I have invested here.

Asked on 9/27/17, 6:26 am

1 Answer from Attorneys

J. Radhakrishnan independent Practice

You will be impleaded in the case filed by the defaulter. In case the sale is set aside, you will get the money back. Pl. consult a local lawyer and proceed.

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Answered on 9/27/17, 9:09 pm

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