The High Court disposed of a writ application challenging a notice to repay cooperative bank loan dues. The court directed the petitioner to approach the bank authority within four weeks for loan rephasing, without adjudicating merits.
Direction to approach bank authority within four weeks for loan rephasing; writ application disposed of.
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06.11.2015
O.J.C. NO.3562 OF 2001
Heard learned counsel for the parties.
This Writ Application has been filed by the petitioner challenging the notice dated 7.
3.2001 issued by the Collector, Sundargarh directing the petitioner to pay the loan dues withi
n a period of seven days failing which necessary action shall be taken under Section 68 of the
Orissa Co-operative Societies Act, 1962.
It is contended by the petitioner that he has incurred a loan from Sundargarh District
Central Co-operative Bank in the year 1993 and he did not repay the loan amount, Dispute Case
No.66/95-96 was initiated against him under Section 68 of the Orissa Co-operative Societies A
ct, 1962 (hereinafter referred to as the act). Though the petitioner appeared in the case but
did not file any show cause for which the case was decided ex-parte and an ex-parte award of
Rs.3,22,156/- was passed against the petitioner including interest up to 30.11.1995. Thereaft
er the Execution Proceeding No.38 of 2000-2001 was initiated under Section 103 of the Act for
recovery of the awarded amount with interest.
A counter affidavit has been filed by opposite party No.2 contending inter alia that t
he petitioner without filing an appeal has approached this Court as such this Writ Application
is not maintainable.
Learned counsel appearing for the petitioner submitted that the petitioner is ready an
d willing to repay the loan amount by way of installment.
Considering the above without going into the merits of the case, this Court disposes o
f the Writ Application with a direction that in case the petitioner approaches the Bank Author
ity i.e., opposite party No.4 within a period of four weeks by filing an
application for rephasement of the loan dues in such event his application shall be co
nsidered by the said opposite party and suitable installments may be fixed for rephasement of
the loan dues within a period of four weeks thereafter.
The Writ Petition is accordingly disposed of.
2
1 issue framed by the court
Whether the Writ Application filed by the petitioner challenging the recovery notice is maintainable despite the pendency of dispute proceedings.
2 provisions across 1 enactments
Petitioner
Collector, Sundargarh
Sundargarh District Central Co-operative Bank
Opposite Party No.2
Bank Authority
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court