BoB loses original title deed of borrower

Vadodara: Next time you submit your original documents to banks for a loan, make sure you get a list from them. A case has surfaced in Vadodara where the government-owned Bank of Baroda could not return the original title deed to a borrower and later claimed that he had submitted a certified copy of the title deed.
Borrower Soma Chauhan had approached a consumer court here in 2013 when the bank made claims of submission of the certified copy. The consumer forum after hearing the case ordered the bank to trace the original title deed and return it or pay a compensation of Rs 50,000 besides Rs 5,000 as legal costs.
Soma had availed an advance facility of Rs 3.18 lakh in 1992 against his property and had deposited the original sale deed with the bank as security. By May 2011, the loan was paid up and the bank even issued a ‘no dues certificate’ but did not return the original deed. When Soma asked for the deed, the bank initially said that the documents were untraceable and it would take some time, but later it claimed that Soma did not deposit the original deed but a certified copy with the bank.
Soma then sent three legal notices to the bank asking for the original deed, but in its reply the bank reiterated its earlier view that he had submitted the certified copy following which Soma filed a case with Vadodara district consumer disputes redressal forum. After the case was filed, Soma passed away so his son Kishan and other heirs became parties in the case.
During the hearing of the case, the bank said that the certified copy was also returned to Soma’s son Kishan and they had acknowledgement of it. Kishan’s lawyer, however, argued that he is not an adequately literate person and he had put the signature on the instructions of the bank manager out of trust. It was also argued that no bank would sanction the loan amount until it got the original documents. After receiving the original documents, the bank had prepared memorandum of depositing the title deed on stamp paper which was produced in the court.
The forum led by president J N Brahmbhatt upheld the arguments and evidence produced by Kishan and observed, “It is shocking and surprising that the bank has not bothered to take proper care of the documents deposited by public.”