Legal Question in Banking Law in India

Dear Sir/Madam,

In the year 2004, my Mother (age: 60), stood as a Guaranter for a personal loan, taken by a teacher, who was working in the school owned by my mother. Stating that the teacher is working in our school, getting paid XXXX, and my mother stands as a guarantor for her loan. We closed the school in the year 2008. The teacher also stood as a Guaranter for my mother's personal loan. Both loans were taken at the same time from same bank. My mother had correctly paid her loan and interest which is closed now. But this teacher had never paid any amount until now (31 Aug 2010). This teacher has even taken huge loans from another bank where she forged my mother's signature and was arrested. Now, my mother has got a legal notice from the bank. Please let us know what will be consequences. How do we handle such problem.


Asked on 8/31/10, 4:50 am

1 Answer from Attorneys
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

your mother may take the plea that the other teacher has forged the signatures and she is not liable to pay the loan amount being a guarantor. the f.i.r lodged in this regard would help your mother.

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Answered on 8/31/10, 10:52 pm


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