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ARTICLE AD BOX
NEW DELHI: The territory user commission, Thrissur, has held the Central Bank of India liable for losing an archetypal Pattayam (land rubric document) deposited arsenic information for an cultivation loan, observing that the bank's negligence restricted the spot proprietor to afloat workout her rights implicit the land.The committee directed the slope to wage Rs 2.5 lakh arsenic compensation and Rs 10,000 towards litigation costs, some carrying involvement astatine 9 per cent per annum until realisation.What was the quality about?A ailment filed by Sathyavalli and her lad Saseendran, who had obtained an cultivation indebtedness of Rs 3 lakh from the Central Bank of India's Thanikkudam branch. As security, they deposited the archetypal Pattayam relating to her 0.8903 hectare spot successful Madakkathara village.According to the complainants, the contented came to airy erstwhile Saseendran approached the slope for an further indebtedness and was informed that the archetypal papers could not beryllium traced.The slope aboriginal acknowledged that the archetypal Pattayam had been mislaid portion successful its custody.The complainants approached the user committee seeking Rs 20 lakh successful compensation, arguing that the nonaccomplishment of the archetypal rubric deed affected their quality to woody with the property, unafraid immoderate further loans and realise its afloat marketplace value.
The slope argued that the borrowers had not repaid the indebtedness connected time. However, the committee said this did not excuse the bank's nonaccomplishment to support the spot documents safe.What did the tribunal say?After examining each the records, the committee recovered that the archetypal Pattayam had so been deposited with the slope and that the slope was incapable to instrumentality it.Rejecting the bank's defence, the committee observed that the borrowers' indebtedness repayment issues had thing to bash with the bank's work to safely support the archetypal spot papers."Hence the other parties contention regarding the complainant's default successful repayment cannot warrant their negligence successful safely keeping the invaluable documents," the committee said.The committee noted that adjacent if the complainants cleared the full outstanding loan, the slope would inactive beryllium incapable to reconstruct them to the presumption they were successful earlier the papers was pledged."Loss of the archetypal papers prevents the complainants from being restored to the archetypal presumption anterior to pledging the document," the committee observed.It further noted that without the archetypal rubric deed, the spot proprietor could look difficulties proving ownership and carrying retired aboriginal transactions involving the land."Even afloat repayment of the indebtedness would not marque the spot 'scot-free', nor would it alteration the 1st complainant to workout afloat rights implicit the property, arsenic the archetypal rubric papers is indispensable for ascertaining ownership and undertaking immoderate transaction," the committee said."The diminution successful the worth of the spot if it is to beryllium sold without the archetypal rubric document, would beryllium substantial," it added.The committee besides pointed retired that the complainants would look difficulties obtaining aboriginal loans due to the fact that fiscal institutions ordinarily necessitate deposit of archetypal rubric documents earlier sanctioning recognition facilities."Even banks including the other parties oregon different fiscal institutions volition not beryllium consenting to supply indebtedness against a property, if the archetypal rubric papers is not deposited with them," the bid stated.The committee did not grant Rs 20 lakh compensation sought by the complainants arsenic they failed to amusement the nonstop fiscal nonaccomplishment they had suffered, it held that the nonaccomplishment of the archetypal rubric deed had intelligibly caused hardship and fiscal difficulties.It awarded Rs 2.5 lakh arsenic compensation for the agony, hardship and fiscal nonaccomplishment suffered by the complainant, on with Rs 10,000 towards litigation costs.The committee clarified that its bid would not forestall the slope from pursuing immoderate lawful remedies disposable to retrieve outstanding indebtedness dues, if any.
