I booked Nissan Sunny XL (Silver) on 2-10-2011 and paid Rupees Three lakhs (Rs.3,00,000/-) by cheque.
On 18-10-2011 it was confirmed that I was getting a loan from HDFC bank for the remaining amount of Rs.5,00,000/-. The Delivery date of the car agreed upon was 27-10-2011.

From 19-10-2011 I started getting calls from the Nissan representative that the loan amount has still hot been disbursed from the bank, When I called the bank to inquire about the delay, they kept promising me that it will be disbursed soon and kept buying time. On 21-10-2011 I received an sms that amount of Rs.23,516/- is debited from my account towards car loan emi and Rs.5,220/- for processing fees. But the loan amount was still not given to the dealer.

On 23-10-2011 the representative me saying that no payment is received yet from HDFC and suggested that I make payment from my personal account for them to initiate the registration so i could get my car on 27th October. Later that day I received a call from HDFC bank who updated me on the delay saying that Ichibaan Nissan is defaulter with HDFC bank and that the company has failed to repay the inventory loan taken by them when they were a Honda dealer (Ichibaan Honda) a year ago. This was advised to me by HDFC auto loan rep Mr. Daljit Singh. I, as a customer am suffering from both ends because HDFC has started already to charge me EMI's without even disbursing my loan. The Branch operations manager, Jaybhadra villa branch, borivali west said the loan cannot be disbursed to Ichibaan Nissan because they are defaulters of HDFC bank. My concern is that HDFC is using my money to play a game with the dealer. It is understandable if HDFC was paying the dealer from its own pockets. But, why is HDFC not giving my money. When it comes to deducting the EMI's regularly they will do it right? Then why are they not releasing my funds to the dealer is my question.

To top it all, I learnt from HDFC yesterday that they are apparently planning to disburse the funds through a third party DSA. So they said that since they are taking a special deviation that they are ideally not supposed to, I should give a letter of authority stating that I am okay for HDFC to transfer the funds to the DSA who will transfer the same to the car dealer!! But, my concern is that HDFC is playing smart and not asking for it in writing and are only verbally telling me to sign the document. When i asked them to send the authority letter in email with covering letter they denied saying that their legal department advised them not to do so. Any suggestions or ideas on what's happening?

Thank You everyone in advance!

P.S. I still haven't got the car because the money is still not disbursed and the dealer is still sitting with my Rs.3lakhs.