Pappy & Others vs State Of Uttarakhand And Others

Manoj Kumar Tiwari, J

Petitioners took a loan from Uttarakhand Gramin Bank, Branch Fatehpur, District Haridwar. Since petitioners could not repay the loan in time,

therefore, Bank has issued a recovery certificate for a sum of ₹ 6,47,928/-. Pursuant to the said recovery certificate, Tehsildar, Haridwar issued a

recovery citation against the petitioners. Thus, feeling aggrieved, petitioners have approached this Court.

A coordinate Bench of this Court had passed an interim order dated 15.06.2018, providing that if petitioners deposit a sum of ₹ 50,000/-with the

Bank within one month, then recovery citation issued against them shall remain stayed.

It is a fact that petitioners are borrower, therefore, they are bound by the terms and conditions of the loan agreement executed between them and

the Bank. Thus, there is no scope for interference with the recovery proceedings initiated against the petitioners due to their default.

Having regard to the facts and circumstances of the case, the writ petition is disposed of by permitting the petitioners to approach the Competent

Authority in the Bank by making a representation, seeking permission to repay the outstanding amount in six installments. He shall, however, deposit a

sum of ₹ 50,000/-, within three weeks from today to show his bona fide. The Competent Authority in the Bank shall take decision on petitioner’s

representation, in accordance with law, within a period of three weeks from the date of receipt of such representation. The Bank shall also provide

statement of account to the petitioner, so that petitioner may ascertain the exact amount, which he is liable to pay.

For a period of six weeks or till decision on petitioner’s representation, whichever is earlier, no coercive action shall be taken against the

petitioners.