Disposed

Manoj Kumar and Another v. Bank of Baroda and 2 Others

Allahabad HC1 Oct 2018WRIC/32762/2018

Case brief

AI extract

What is this about?

The court addressed a writ petition where loan defaulting petitioners sought to fulfill a one-time settlement. The bank offered a 15-day extension for payment. The court directed the bank to provide an updated interest statement and grant the petitioners time to deposit the balance by October 16. (37 words)

What did the court decide?

The bank was directed to calculate interest from April 1 to October 16, 2018, and allow the petitioners to deposit the entire amount on or before October 16, 2018.

Manoj Kumar and Another Vs Bank of Baroda and 2 Others — Banking and Recovery | Allahabad HC (2018)

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Court No. - 39 Case :- WRIT - C No. - 32762 of 2018 Petitioner :- Manoj Kumar And Another Respondent :- Bank Of Baroda And 2 Others Counsel for Petitioner :- Rakesh Pande Counsel for Respondent :- Anadi Krishna Narayana,Manish Malhotra

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Hon'ble B. Amit Sthalekar,J. Hon'ble Surya Prakash Kesarwani,J.

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Heard Sri Rakesh Pande, learned counsel for the petitioners and Sri Manish Mehrotra, learned counsel for the respondent bank.

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The petitioners in the writ petition are seeking a direction to the respondent bank to allow them to make deposit of the entire outstanding loan amount by way of one time settlement.

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The petitioner no. 1 is the proprietor of M/s. Guru Prasad Medical Agency and has availed a cash credit facility of Rs.1.14 crore. The petitioner no. 2 who is the real brother of the petitioner no. 1 and is also a proprietor of M/s.Guru Prasad Medical Store has also availed a cash credit facility of Rs.24 Lacs. The petitioners no. 1 & 2 also jointly took housing loan of Rs.20 Lacs. When the loan amount could not be repaid they entered into a one time settlement with the bank and the bank directed the petitioners to deposit Rs.1.60 lacs by 31 March, 2018. Against the one time settlement of Rs.1.60 crore, the petitioners deposited only Rs.98 Lacs and Rs.52 lacs remained unpaid.

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Sri Rakesh Pande, learned counsel for the petitioners submits that the petitioners are willing to pay the remaining amount with up to date interest provided they are granted fifteen days time.

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Sri Manish Mehrotra, learned counsel for the bank, on the other hand, submits that the petitioners were required to deposit the entire outstanding amount by 31 March, 2018 but they have failed to honour the one time settlement and interest has piled up from April,2018 onwards. He further submits that the bank is willing to accept the terms set forth by the petitioners and that they shall deposit the entire outstanding amount alongwith up to date interest within fifteen days i.e. by 16 October, 2018.

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We, therefore, dispose of the writ petition with a direction that the bank shall give a statement of account calculating the interest from 1 April, 2018 till 16 October, 2018 to the petitioners within three days from today and thereafter, they shall deposit the entire amount on or before 16 October, 2018.

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Order Date :- 1.10.2018/nd

Manoj Kumar and Another v. Bank of Baroda and 2 Others

Case brief

What is this about?

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Manoj Kumar and Another v. Bank of Baroda and 2 Others

Case brief

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