Rishi Pal Vs State of U.P. and 4 Others — Allahabad HC (2025) — LawSathi Research

Rishi Pal Vs State of U.P. and 4 Others — Allahabad HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Writ petition disposed of with directions permitting the petitioner to deposit the entire outstanding amount of Rs.12,92,851/-: Rs.1,50,000/- on or before 30.09.2025, followed by six equal quarterly installments commencing 01.12.2025 (last installment with balance amount and up-to-date interest); Bank to furnish adjusted statement of account by 15.10.2025; no recovery charges to be levied; recovery proceedings kept in abeyance during compliance, with liberty to respondents to resume recovery on default. No order as to costs.

Issue for consideration

Whether the petitioner, against whom a Recovery Citation dated 04.08.2025 has been issued for auction of his mortgaged land to recover Rs.12,92,851/- due to Punjab National Bank, should be permitted to deposit the entire outstanding amount in easy installments instead of facing recovery.

Court's answer

Since the petitioner offered to pay the entire amount due against him, the ends of justice required that he be granted an opportunity to deposit the entire outstanding amount in the manner directed by the Court; the Bank agreed to accept the amount payable.

Ratio / Principle

Deposit schedule directed: petitioner to deposit Rs.1,50,000/- on or before 30.09.2025 with the respondent-Bank; on such deposit the Bank to provide a statement of account after adjusting amounts already deposited on or before 15.10.2025; the balance to be deposited in six equal quarterly installments commencing 01.12.2025, the last installment to carry the balance amount with up-to-date interest.

Key takeaways

No recovery charges shall be recovered from the petitioner by the respondent authorities.ratio¶21
Recovery proceedings to remain in abeyance during the period prescribed for deposit and during deposit of installments; in case of default in depositing the initial amount or any installment within the stipulated period, it is open to the respondents to start recovery proceedings against the petitioner.ratio¶22

Detailed headnote1 paragraphs

Allahabad High Court (Prakash Padia, J.) disposed of a writ petition filed by a borrower of Punjab National Bank, Branch Usawa, District Budaun, against a Recovery Citation dated 04.08.2025 issued by the Sub Divisional Magistrate, Teshil Dataganj, District Badaun for auction of land mortgaged by the petitioner, whereby a sum of Rs.12,92,851/- was to be recovered. Since the petitioner offered to pay the entire outstanding amount and the Bank agreed to accept it, the Court directed the petitioner to deposit Rs.1,50,000/- on or before 30.09.2025; upon such deposit the Bank was to provide a statement of account after adjusting amounts already deposited on or before 15.10.2025; the balance was to be deposited in six equal quarterly installments commencing 01.12.2025, the last installment carrying the balance amount with up-to-date interest. The Court further directed that no recovery charges be recovered from the petitioner and that recovery proceedings remain in abeyance during the deposit period, with liberty to the respondents to commence recovery in case of default. No order as to costs.

HIGH COURT OF JUDICATURE AT ALLAHABAD

WRIT - C No. - 30669 of 2025

Rishi Pal

.....Petitioner(s)

Versus

State Of U.P. And 4 Others

.....Respondent(s)

Counsel for Petitioner(s)	: Deepak Kumar Srivastava
Counsel for Respondent(s)	: Ramesh Kumar Shukla, S.C.

Court No. - 33

HON'BLE PRAKASH PADIA, J.

Heard learned counsel for the petitioner, learned Standing Counsel for respondent Nos.1 to 4 and Ms. Sakshi Shukla, learned counsel holding brief of Sri Ramesh Kumar Shukla, learned counsel for respondent No.5/Bank.

The loan amount taken from the respondent No.5/Punjab National Bank, Branch Usawa District Budaun was not repaid by the petitioner as per agreement, therefore, the respondent No.3/Sub Divisional Magistrate, Teshil Dataganj, District Badaun issued Recovery Citation dated 04.08.2025 for acution of land mortgaged by the petitioner at the time of taken loan. It is stated in the order that a sum of Rs.12,92,851/- is to be recovered from petitioner.

It is argued by Ms. Sakshi Shukla, learned counsel for respondent No.5/Bank that as on date, i.e., on 04.08.2025 a sum of Rs.12,92,851/- is due upon the petitioner.

It is argued by learned counsel for the petitioner that the petitioner is ready and willing to deposit the entire amount, in case he is permitted to do so in easy installments.

Having regard to the fact that the petitioner has offered to pay the entire amount due against him, in my view, the ends of justice require that the petitioner be granted opportunity to deposit the entire outstanding amount due against him in the following manner. The Bank has also agreed to accept the amount payable.

(i) Petitioner shall deposit Rs.1,50,000/- on or before 30.09.2025 with the

WRIC No. 30669 of 2025

2

respondent-Bank.

(ii) In case the amount, as indicated above, is deposited by the period prescribed, the respondent-Bank shall provide statement of account, after adjusting the amount already deposited on or before 15.10.2025. That amount shall thereafter be deposited in six equal quarterly installments started with effect from 01.12.2025. The last installment would be deposited with balance amount and upto date interest.

(iii) No recovery charges shall be recovered from the petitioner by the respondent authorities.

(iv) Till the period prescribed for depositing the aforesaid amount and thereafter during the period of deposit of installments, the recovery proceedings will be kept in abeyance. In case the petitioner defaults in depositing the initial amount or thereafter installments within the stipulated period, it will be open for the respondents to start recovery proceedings against the petitioner.

With the aforesaid observations/directions, the writ petition stands disposed of. No order as to costs.

(Prakash Padia,J.)

September 11, 2025

saqlain

Digitally signed by :- SYED MOHAMMAD SAQLAIN HAIDER High Court of Judicature at Allahabad