Deputy commissioner of police buys flat from bank, another lender seizes it citing mortgage by previous owner in Bengaluru | Bengaluru News
Bengaluru: A deputy commissioner of police (DCP) has alleged that a bank sold him a mortgaged flat without disclosing a loan against it raised by its previous owner from another financial institution.The flat at Kaggalipura was sold to him by Jana Small Finance Bank two years ago, but Swarna Bharathi Sahakara Bank seized it, citing its mortgage status.DCP (City Armed Reserve-west) VC Gopala Reddy, said in his complaint to Central Crime Branch (CCB) police on July 7 that he purchased flat on the fourth floor of Sri Shankara Meadows through an e-auction by Jana Bank on July 24, 2023, by paying Rs 28 lakh. According to a senior police officer, Jana Bank executed the sale agreement but the property was yet to be registered.Reddy was shocked when Swarna Bharati Sahakara Bank served a notice on May 8, telling him that he had been staying in the flat illegally. The bank’s officials seized the property. When Reddy questioned Jana Bank officials Rajesh, Babu Srijith, Umesh, and Ranjan about not disclosing the flat’s mortgage to Swarna Bharati, they didn’t respond properly.Reddy stated that Jana Bank and its staff deceived him by hiding the facts. His complaint also names Swarna Bharati as one of the accused.He wrote to Jana Bank asking for a return of the Rs 28 lakh he had paid for the flat, but there was no response to his letter.Informed by his friends about an advertisement on the e-auction of the flat, Reddy checked on the e-katha and other documents and also took a legal opinion from an advocate, the police officer said. As encumbrance documents were not found during the verification, Reddy purchased the flat.Police said the case has been registered under the Bharatiya Nyaya Sanhita (BNS) sections 316 (criminal breach of trust) and 318 (cheating) against all four staff, Jana Bank and Swarna Bharati.Further details will be known only after the investigation, the officer added.Police said their investigation would reveal who committed the alleged fraud by not disclosing the facts.
