Legal Question in Banking Law in India

I am working in Bank as Deputy Manager . We had sanctioned the cash credit facility to M/s. Apex Voice Services Pvt Ltd amount of Rs200 Lakhs. The advance is takeover from State Bank of India. One of the pre-sanction condition is Customer has to paid the Processing fees amount of Rs2 Lakhs up front. As per the sanction customer has issued the SBI cheque towards processing charges, the same collected after realization of cheque. Customer has executed the respective documents and authorization letter issued to state bank of India for take over of the advance and handing over of the title deeds. As per his request we have issued the Pyorder in favour of SBI on account of Apex Voice Services Private Limited.

Simultaneously customer is operating our Cash Credit account i.e., they are depositing his money and his cheques for clearing they made a payments to suppliers by way of RTGS.

On our continuous reminders and personal visit to SBI, they are not presenting the payorder in � clearing. After three days, we have received the letter form customer to taken back the pay order from SBI, what we have issued to SBI. As per the customer request we taken back the pay order the same as credited their cash Credit account. And company has requested us to close his limits. As per company�s request we have closed the account.

Company has issued a request letter stating that reimbursement of his processing fees amount of Rs 2.00 Lakhs. Our competent authority is not accepted to return back the processing fees.

They are approached to Ombudsman for reimbursement of processing fees. They are judge the case in our favour. Again he approached to RBI Grievances cell. They also agreed with ombudsman judgment.

Now the company as filed the case under Consumer forum. Always he is wasting our time and money. We request you to please advise in this regard. We can file any case against him.


Asked on 2/26/10, 10:42 pm

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

you may approach the civil court for recovery and damages.

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Answered on 3/03/10, 9:42 pm


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