The petitioner sought writ relief for return of jewels pledged as collateral after repaying the loan. The High Court held the bank had a lien against other agricultural loans and dismissed the petition.
Writ petition dismissed. No costs to either party.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
WP(MD)No.832 of 2022
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED: 01.09.2023
CORAM:
THE HONOURABLE MR.JUSTICE B.PUGALENDHI
WP(MD)No.832 of 2022
T.Ashokumar ... Petitioner Vs
1.The Regional Manager / Authorised Officer, Indian Overseas Bank, Regional Office, 552/3, M.S.Road, Vettoornimadam, Nagercoil.
2.The Branch Manager, Indian Overseas Bank, Swamiarmadam Branch, Kattathurai Post, Kanyakumari District.
3.The Branch Manager, Indian Overseas Bank, Marthandam Branch, Marthandam Post, Kanyakumari District. ... Respondents PRAYER: Writ Petition is filed under Article 226 of the Constitution of India for issuance of a writ of mandamus directing the respondent to allow the petitioner to redeem the petitioner's jewels mortgaged in 2nd and 3rd respondent Bank on the petitioner's representation dated 08.01.2022 submitted to the respondents in accordance with law.
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WP(MD)No.832 of 2022
For petitioner : Mr.M.Sankar For Respondents : Mr.N.Dilip Kumar
ORDER
The petitioner has approached this Court that he
has availed a loan by pledging his jewels from the respondent bank and he has repaid the entire loan amount. Despite the same, the jewels were not returned by the respondent bank.
2.The learned Counsel for the petitioner submits
that the petitioner has repaid the entire loan amount. However, the respondent bank is not returning the jewels and retaining it with themselves.
3.The learned Standing Counsel appearing for the
respondent bank by referring the counter affidavit submits that apart from the jewel loan, the petitioner has availed agricultural loan from the respondent bank. The petitioner has also given undertaking that the jewelry pledged to the bank shall be retained as security for all the present and
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future indebtedness and liabilities either solely or
jointly with other persons in whatsoever capacity either as borrower or guarantor at any office of the bank.
4.The learned Standing Counsel for the respondent bank by referring Section 171 of the Indian Contract Act submits that apart from the undertaking of the petitioner, the respondent bank is having a lien of right. He also submits that the petitioner has made a request for one time settlement and has paid 10% of the agreed amount of the one time settlement. As and when the petitioner pays the entire dues, the jewels would be returned to the petitioner.
5.This Court considered the rival submissions and perused the materials placed on record.
undertaking before the respondent bank to retain the jewels by the respondent bank as security for the 3/5
WP(MD)No.832 of 2022
agricultural loan availed from the respondent bank.
Moreover the respondent bank claims that they are having lien in view of Section 171 of the Indian Contract Act. Therefore, this Court is not inclined to entertain this writ petition. Accordingly, this writ petition is dismissed. No costs.
01.09.2023
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WP(MD)No.832 of 2022
B.PUGALENDHI, J.
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WP(MD)No.832 of 2022
01.09.2023
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2 issues framed by the court
Whether a writ of mandamus should be issued directing the respondent bank to return the petitioner's jewels despite repaid loan.
Whether the bank is entitled to retain the pledges under lien under Section 171 of the Indian Contract Act for other debts.
1 provisions across 1 enactments
T. Ashokumar
The Regional Manager / Authorised Officer, Indian Overseas Bank
The Branch Manager, Indian Overseas Bank, Swamiarmadam Branch
The Branch Manager, Indian Overseas Bank, Marthandam Branch
B.Pugalendhi
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
