The person who is purchasing the house from me, took a loan from Standard Chartered. The home loan marketing executive "Mr. Manjunath" from the bank (Kormangala Branch, Bangalore) never bothered to explain about the process of foreclosure of the existing loan. He was given the existing loan documents in the first batch of documents he needed.
Despite knowing about the loan he got the DD’s processed on my and my wife’s name.
On the day of registration, the bank’s legal adviser did not mention this until the registration was complete. As and when we finished the transfer of house on the buyer’s name, he said he will not give us the DD without the original sale deed (which was held with my bank for my home loan).
~ I called Mr. Manjunath that was this conveyed after the registration was done, and he says he does not know about the loan.
~ I asked him, how did the bank’s legal team agree to issue the DDs without the sale deed then, he says legal team is not concerned about the sale deed (so basically according to him, legal team does not verify the documents before issuing the DDs worth Rs. 4, 500, 000).
~ He also added, that is is our fault we did not close the loan, before sale so we have to pay the loan (approx Rs. 2, 400, 000) from our own pocket, or issued DDs will not be handed.
~ I said how are we supposed to get such a huge amount, and he says that is up to you, you have to close it.
As far as my understanding goes, he basically got all the approvals without proper verification just to get his targets completed before the financial year ending of 31 March.
Last three days have been a nightmare to me because of their goof up. I have lost my house, and am only left with a loan from my existing bank. In addition this money was supposed to go further for another house I am purchasing, for which the token amount has already been given, so I have gone homeless because of them, and under debt of around Rs. 2, 400, 000.
We had a round table discussion with Manjunath, his boss, buyer, me, my wife.
~ In the discussion he said he had no idea of whether we had informed him about the home loan, and we showed his boss the proof of the documents handed to him.
~ Further to discussion he says, the buyer had told him that the sellers (me and my wife) will be closing the loan before the sale.
"So he is contradicting himself that he was not aware of the home loan."
Last three days he is not picking our calls, not responding on the phone, and just messaging us that DD’s are being processed or that legal approval has not yet come.
Standard Chartered is simply playing with us.
I have messaged him (since he is not picking the call) that I am going legal against them if they do not give us the solution immediately.
If anyone has any suggestions or advise please do let me know, because tomorrow I am meeting a lawyer of what action can be taken against them.