High Court of Orissa allowed a writ petition challenging a Banking Ombudsman's order dismissing a complaint as time-barred. The court held the cause of action arose from the refusal to release deposits and granted remedy.
Impugned letter setting aside quashed; Banking Ombudsman directed to deal with petitioner's complaint positively within 4 weeks.
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.
IN THE HIGH COURT OF ORISSA AT CUTTACK
WP(C) No.10541 of 2021 (Through Hybrid mode)
Gourishankar Nayak
…. Petitioner
Mr. Subhransu Bhusan Mohanty, Advocate
-versus-
Banking Ombudsman, RBI and others
…. Opposite Parties
Mr. Santosh Kumar Nanda, Advocate (for O.P. nos.2, 3 and 4)
CORAM: JUSTICE ARINDAM SINHA
Order No.
ORDER 19.07.2022
Page 1 of 4
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that the complaint is beyond the pecuniary jurisdiction of Banking Ombudsman, prescribed under clause-12.
Page 2 of 4
// 3 //
5. Text of letter dated 10th May, 2019 written by the bank to petitioner is reproduced below.
“With respect to the subject cited above, you have availed a tractor loan bearing a/c no.419703171400002 on dt. 24/03/2014 for which aforesaid fixed deposit of amount 2,00,000/- has been taken as security. The present value of this fixed deposit is 3,02,630/-.
Due to non submission of certain documents and some other issues in the aforesaid loan, case has been filed and the case is under subjudice. The a/c is NPA & the present o/s of your loan is Rs.8,97,155/-.
For your information the fixed deposit can not be called back by you till your liability to the bank on account of the aforesaid loan have not been fully liquidated.”
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Scheme since, petitioner complains that the bank obtained security and is exercising lien on non-observance of the Reserve Bank directives.
9. The writ petition is disposed of.
RKS
(Arindam Sinha)
Judge
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3 issues framed by the court
Whether a complaint to the Banking Ombudsman regarding security alleged to be against Reserve Bank of India directives is barred by limitation.
Whether the writ petition is maintainable given the ground of complaint under the Banking Ombudsman Scheme.
Whether the raising of lien on a fixed deposit without reserve bank approved security violates the scheme guidelines.
3 provisions across 2 enactments
Gourishankar Nayak
Banking Ombudsman, RBI and others
Arindam Sinha
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
