[ad_1]
The bank refused to return the jewelry saying that there was a balance of Re 1 in each of the loans
Claiming a default of Re 1 in repayment of one loan, a cooperative bank here reportedly refused to return 138 grams of gold jewelery given as collateral, which would have prompted the client to seek compensation from the Madras High Court.
In an application, C Kumar, account holder of the Pallavaram branch of the Kancheepuram Central Cooperative Bank, submitted that he had run from pillar to post for the last five years to recover the jewelry worth about Rs 3.50 lakh and asked an instruction to the bank to make them.
When the plea was heard Friday, Justice T Raja recorded the findings of petitioner Sathyan's lawyer and ordered the government defender to obtain instructions from the authorities within two weeks.
The petitioner stated that he borrowed 1.23 million rupees from the bank by promising 131 grams of gold jewelery. , 2010.
Meanwhile, he took two new loans totaling Rs 1.65 lakh by promising a total of 138 grams of gold.
On March 28, 2011, he closed the first loan by settling the amount with interest and redeemed
He repaid the other two loans soon after, but the bank refused to return the jewelery saying that there was a Re 1 balance in each loan.
Lawyers for M Sathyan's lawyers even said following repeated requests from the petitioner, the bank refused to release the jewelry or accept the payment of Re 1 on hold for each account.
The petitioner argued that he harbored doubt as to the safety of his jewels
[ad_2]
Source link
