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2014 DIGILAW 1136 (PAT)

Nayyar Khurshid v. Jammu & Kashmir Bank Ltd.

2014-11-17

MIHIR KUMAR JHA

body2014
Judgment Heard learned counsel for the parties. 2. The prayer of the petitioner in this writ application reads as follows:- “For quashing of letter dated 25.11.2013, by which and whereunder the respondent Bank refused to grant approval to the petitioner’s offer to liquidate the Bank’s dues under One Time Settlement and further for a direction/directions to the respondent Bank for accept the petitioner’s offer to liquidate its dues under One Time Settlement and given No Objection thereafter.” 3. Before Mr. Chittranjan Sinha, learned Senior counsel, could have begun his submission learned counsel for J & K Bank having filed his counter affidavit had sought to raise a preliminary objection as with regard to maintainability of the writ application. 4. Mr. Chittranjan Sinha, learned Senior counsel for the petitioner, has submitted that though he has an effective answer in view of the Apex Court judgment to satisfy this Court with regard to J & K Bank being amenable to writ jurisdiction and in this respect he has cited the judgment of the Apex Court in the case of Shri Anadi Mukta Sadguru Shree Muktajee Vandasjiswami Suvarna Jayanti Mahotsav Samarak Trust & ors. v. V.R. Rudani & ors., reported in AIR 1989 SC 1607 , but then he himself submitted that this issue should be left open because now the Bank in its own counter affidavit has quantified the amount of payment of which the petitioner can be exonerated/ exempted from the liability of the Bank towards the loan taken by him. In this regard he refers to paragraph no.10 of the counter affidavit, relevant portion whereof reads as follows:- “10. The Bank has always been demanding and realizing from the petitioner in accordance with the ledger and contact pertaining to the loan. The outstanding in the petitioner’s loan account, as on 31.7.2014, is Rs. 408065.74. Further, cost incurred by the Bank pertaining to Law and SARFAESI which is Rs.75720/- and Rs.33,708/- respectively are also payable by the petitioner to the Bank.” 5. The outstanding in the petitioner’s loan account, as on 31.7.2014, is Rs. 408065.74. Further, cost incurred by the Bank pertaining to Law and SARFAESI which is Rs.75720/- and Rs.33,708/- respectively are also payable by the petitioner to the Bank.” 5. Learned counsel for the Bank in such a situation submits that the question with regard to maintainability of the writ application should be left open for its being decided in an appropriate case but then for the time being the petitioner must be asked to make payment of amount within the fixed time frame because on earlier occasion such an observation made by this Court did not yield to the benefit of the Bank. He in this regard cites the earlier order dated 3.12.2008 in C.W.J.C. No. 16753/2008 in support of his aforementioned submission. 6. Mr. Sinha in reply submits that whatever may have been the past history of the petitioner he now has decided to clear all the entire liability of loan as per averments made in paragraph 10 of the counter affidavit and therefore, if he fails this time to pay the amount he will not claim for the relief prayed in this writ application before any court of law. 7. Considering the fact that J & K Bank at the end of the day is a financial institution whose main interest should be to get back its money this Court while keeping the issue with regard to such Bank being the State within the meaning of Article 12 of the Constitution of India open for its being adjudicated in any other appropriate case would simply accept the undertaking of Mr. Sinha given on behalf of the petitioner that the petitioner shall pay the entire amount of Rs.4,08,065/- + Rs.75,720/- + Rs.33,708/- by 31st January 2015 as also the interest that may accrue upto 31st January, 2015 i.e. six months from the last calculation of interest in two instalments. In other words, the first instalment of amount of Rs.3 lacs shall be paid by 15th December, 2014 and the rest of the amount with up to date interest shall be paid on or before 31st January, 2015. 8. In other words, the first instalment of amount of Rs.3 lacs shall be paid by 15th December, 2014 and the rest of the amount with up to date interest shall be paid on or before 31st January, 2015. 8. It is made clear that if there be any default on the part of the petitioner in the aforesaid payment, he will not be only liable to pay interest or be subjected to other coercive proceedings as is permissible under SARFAESI Act but will also be additionally liable to be punished under the provisions of Contempt of Court Act, 1971 for breach of undertaking given by his counsel. 9. With the aforementioned observation and direction, this application is disposed of.