Canara Bank Teynampet Branch - The Debtor kept in the dark about the Loan Account

Respected Sir/Madam,

Greetings.

I had taken a loan for a project in the year ****, amounting to Rs. **,**,***/- , with an extension of Rs. *,**,***/-. The extension was paid back within a month, leaving the main amount of ** Lakhs outstanding. The project I had invested in was intended to be completed, sold, and the loan repaid. This was the expectation with which I approached the loan. I had mortgaged my property, a built-up cottage in Ugarthe Nagar, Kodaikanal, which was the only gift my father gave me before he passed away recently. Unfortunately, due to various market factors, the project didn’t find a buyer, leading to delays in repayment.

Initially, I managed to pay the interest, but post-COVID, the situation became extremely difficult, making it impossible for me to even cover the interest payments. Despite my financial and mental difficulties, I have made substantial payments toward the loan, totalling not less than ** lakhs altogether. I also appeared for an adalat and requested a reduction in the interest rates, which had skyrocketed due to COVID. However, my requests were not considered by the then DGM, Mr Sundaram, and I found the treatment I received to be psychologically traumatic.

The bank had sent me a notice indicating that my account had been categorized as NP. Later, I received communication that my house was to be placed for e-auction, with notices posted on the door of my property.

Despite my efforts to address the situation, I felt completely exhausted. I attempted to pursue a one-time settlement (OTS) and even remitted Rs. * Lakhs as an advance. However, I could not pay the remaining amount in the required timeframe.

After the first COVID lockdown, I stopped receiving notices from the bank. To my shock, I learned from nearby sources that my property was being demolished, and I saw pictures confirming that. I have yet to receive any information regarding the successful sale or auction of the property, and I no longer receive reminder emails from the bank, which I had been receiving until the start of the first COVID wave.

I have tried to contact the bank via email since I have shifted back home and cannot visit in person due to COVID-** regulations. However, I have not received any response. The last communication I received from the bank stated that I owed around Rs. **,**,***/-, including interest, without any details. The original loan was Rs. **,**,***/- .

Another difficulty that I faced personally is that my daughter who was trying to get an admission for her postgraduation abroad for which a lot of money was spent did not
get through the admission just for one reason that the CIBIL score of mine had not been altered/changed in spite of all the events following the auction. It has caused us a lot of money and mental trauma that was inflicted by the Canara Bank.

I would like to know the following:

*. I need a complete statement for my account from the disbursement of the loan until now. How much have I exactly paid-in capital and interest to date?

*. Why did the bank not inform me that the sale/auction had taken place?

*. Why was there no signature taken from me or the key of the property obtained after the sale?

*. How could they demolish the property and build a new building when the only key to it was with me, and the account details had not been shared with me?

*. If the property was auctioned, I want to know the auction price. The property was valued at * crore in the assessment. Where is the rest of the money?

*. Did the bank auction it for less than the amount I owed or what they claimed I had to pay with interest to date? I continue to experience psychological trauma as a debtor, especially knowing my mortgaged property had been torn down and sold while I still possessed the original key.

*. Why hasn't the bank contacted me regarding the sale or auction of the property?

*. Why hasn’t the bank provided any information about the status of my loan account?

*. Is my loan account still active? If it’s closed, how could the bank do this without my knowledge?

**. If the loan account is closed, I need a No Objection Certificate (NOC) from the bank confirming that the loan has been paid and the account is closed.

**. I request the balance from the sale deed, as my property is worth * crore at present, minus my loan amount, and an additional Rs. **,**,***/- for the losses incurred due to the loss of my job resulting from this situation. The mental trauma caused by the bank’s threats and harassment has been devastating, contributing to my father’s passing due to shock.

**. I doubt that my property has been manipulated and sold for less than the market rate from the inside official circle.

Could you answer the questions listed above? As someone who trusts this country's financial system, I believe I have the right to know what is happening.

I'm hoping to get answers to these questions soon. Thank you for your attention to this matter.

Sincerely,