Understanding Banking and Finance Law in Kolkata
Banking and finance disputes are increasingly common in Kolkata courts. This guide covers legal remedies for bank fraud loan disputes recovery proceedings and creditor rights under various laws.
Frequently Asked Questions
What is Section 13(2) notice?
Demand notice issued after account declared NPA requiring borrower to repay outstanding amount within 60 days. Must contain details of secured asset.
What is Section 13(4) notice?
Possession notice issued if borrower fails to comply with 13(2) notice. Bank takes physical or symbolic possession of secured asset.
What should borrower do on receiving 13(2) notice?
Verify NPA classification was proper. Either repay within 60 days or file objection before DRT under Section 17 within 45 days of 13(4).
Can borrower settle after 13(4) notice?
Yes bank may consider One Time Settlement even after possession notice. Settlement preferable to auction and civil litigation.
What if bank illegally dispossesses?
File appeal before DRT under Section 17 with application for restoration of possession. DRT can set aside illegal possession.
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