Legal Question in Banking Law in India

hi, i am a senior manager working with a psu bank in india,west bengal. recently i have received a notice of garnishee from west bengal sales tax department ,krishnagar nadia demanding inr.47,922/- to be recovered from the a/c of one m/s geetanjali within 27th of may 2013.if this order is not complied with then this sum will be recovered from the bank and actions will be taken against me for violation of the, the letter states that one mr. gobinda chandra khan is the prop. of m/s geetanjali.on close scutiny of our avaliable records it was found that there is no such a/c in the name of m/s geetanjali but there is one savings a/c in the name of gobinda chandra khan,we immediately created a debit freeze to that a/c so that money cannot be withdrawn and i personally talked to the sales tax officer of krishnagar and conveyed to him that there is no such a/c in the name of m/s geetanjali and heshold provide us with other details like a/c no. and photo of the concerned person then we can search accordingly next day they sent me a registered letter in which the a/c no sb-6164 is given which tallied with the name of gobinda chandra khan.since then i have not replied to them but have sent a communication in this regard to my regional the meanwhile i have sent one of my men to mr.khan to solve the matter bertween him and the sales tax department,but he said that he is not going to give that amt of money to the sales tax authorities and in case the bank forcefully debits his a/c for recovery of such sum he will file a case against me or the i am at a fix as to what should be done in this regard,i dont think that my higher authorities would help me in this regard and they would simply pass the buck on me.and as because this is a rural bank,there is derth of competent lawyers who could guide me in this regard. my question is what my reply to them shold be and what actions can be taken against if i dont comly within the stipulated period and if i comply can the aggrieved party file a case against me.i am torn between these two things and is being penalised for no fault of mine.please provide help.


r sen

Asked on 5/02/13, 9:17 pm

2 Answers from Attorneys

Mr R sen ...

You are in a delima which way to go.... Sir as per banking norms you can not debit a customers account without his permission or if the govt request to do so which you need to go through the rbi GUIDLINES.... SO I suggest you to follow the guidlines provided by RBI... if still you have any doubts and need some suggestion mail me at [email protected]

with reagrds


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Answered on 5/05/13, 5:47 am

Jayesh Desai Jayesh Desai

You are required to honor Garnishee Notice. You can write to your legal department, to get out of your dilemma, seek their opinion in writing and act accordingly. Or take permission from higher authority, take a lawyers opinion in writing (to protect yourself); and act accordingly.

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Answered on 5/22/13, 11:02 pm

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