Questions & Answers
Closing an account after paying the complete loan upon buying a company
I had purchased a company from someone and had taken his personal loan on my shoulder but when I realized that there are a lot of other depths such as company cheques, I asked the old owner to return my payment. He agreed to pay half and asked me to sell the company under another person's name.
The 3rd person who took the company from me had agreed that he will take the personal loan to his shoulder but after taking the company, he didn’t approach the bank to change the signatory and he run away because the company bank account still under my name (only as per bank record) but legally, the company is not under my name at all.
To avoid issues, I keep paying my monthly installment which is above 6500 AED directly to the loan agreement number. I can see that the court has blocked my x- company account and informed the bank to deduct above 320k in case it is credited from other sources to that account.
My question is should I complete the loan? If yes, after completing the loan, can I close the account by showing the new memorandum?
Hello,
As per your query, please note that you should have canceled the bank account after providing the updated license details and the memorandum to the bank.
As you have mentioned that you are still liable for the payment, it should not be deducted from your liability, it is the company and the manager's liability who signed the cheque at that point of time.
Talk to the bank and try to settle. Was the money, 320K, your liability during your tenure, or did you sign any instrument which arose the liability? It is not clear.
Please contact us further via phone or email for more information.
