BENGALURU: The Karnataka High Court has directed Canara Bank to pay Rs 2 lakh to an 85-year-old man for not returning the original title deeds of the land and house properties mortgaged by his deceased debt-ridden son. Even after the old man had paid nearly Rs 20 crore, the entire amount of the debt on behalf of his son, the bank continued to avoid him.
Knowing fully well that the son, who is the original borrower, was no more and hence the father had cleared the dues by accepting the 'One Time Settlement' offered, the bank took a strange stand that it has to return the original documents to the son and not the father.
Justice M Nagaprasanna directed the bank to return the original documents along with Rs 2 lakh to M B Shekar Gowda (85), representative of M/s Embee Agro Food Industries, from Davanagere, disposing of the petition filed by him against the bank.
The counsel of Canara Bank claimed that since the father is not the original borrower, the documents cannot be returned to him but will be returned if the court issues a direction.
The court said that the original borrower is no more as he died by suicide. The bank, which is aware of it and offered OTS to the father on account of the death of the son, now wants to return the documents to the original borrower. It is this action of the bank that shocks the conscience of the court, the court added.
The court observed that the attitude of the bank is akin to the attitude of a cantankerous private lender. It is beyond comprehension and rather strange that the bank comes up with such preposterous pleas, the court said.
Animesh Gowda M S, the Managing Director of Embee Agro Food Industries, had taken a loan from the bank and took his life after not being able to pay the mounting debts. After this, the bank offered OTS of Rs 19.75 crore plus legal expenses in 2022. He paid it along with legal and other expenses of Rs 5 lakh. However, the original documents were not returned.