Allowed

Niranjan Biswal v. Regional Manager, Rbi, Bbsr

Orissa HC7 Jun 2022WP(C)/14241/2022

Case brief

AI extract

What is this about?

This court treated a writ petition regarding the seizure of a truck due to defaulted loan. Although maintaining the petition against a finance company was impossible as per Federal Bank Ltd., the Court allowed release upon depositing 50% of dues and rephasing EMI amidst COVID-19.

What did the court decide?

Vehicle released upon deposit of 50% outstanding dues within four weeks and undertaking to pay regular rephased installments.

Niranjan Biswal Vs Regional Manager, Rbi, Bbsr — Motor Accident Claims | Orissa HC (2022)

¶1

IN THE HIGH COURT OF ORISSA AT CUTTACK

¶2

W.P.(C) No. 14241 of 2022

¶3

Niranjan Biswal

¶4

…. Petitioner

¶5

Mr. Braja Mohan Sarangi, Advocate

¶6

-versus-

¶7

Regional Manager, RBI, Bhubaneswar and anher

¶8

…. Opp. Parties

¶9

CORAM: JUSTICE K.R. MOHAPATRA

ORDER

Order No.

07.06.2022

This matter is taken up through hybrid mode.

¶15

Petitioner has filed this writ petition assailing forceful seizure of his Truck bearing Registration No.OD-05-AW-1109 due to non-payment of the defaulted amount by Opposite Party No.2.

¶16

Mr. Sarangi, learned counsel for the Petitioner submits that due to non-payment of regular installments with regard to the aforesaid Truck bearing Registration No.OD-05-AW-1109 of the Petitioner has been seized in May, 2022 by Opposite Party No.2 without following the guidelines given by the Hon’ble Supreme Court in ICICI Bank Ltd.- Vs.-Prakash Kaur and others , reported in (2007) 2 SCC 711. He further submits that the Petitioner had not moved this Court earlier in respect of the aforesaid Truck in relation to the loan amount in question.

¶17

In course of hearing, learned counsel for the Petitioner submits that the Petitioner is ready and willing to pay 50% of the outstanding dues as on date and in that event his vehicle may

¶18

Page 1 of 3

¶19

// 2 //

¶20

be released. He also undertakes to pay the instalments regularly on rephasement of his outstanding EMIs. It is submitted that the Petitioner has never defaulted in payment of the instalments; it is because of the COVID-19 situation, this situation arose. It is further submitted that the Petitioner has not moved this Court earlier for release of the vehicle in question.

¶21

The writ application against a private finance company is not maintainable in view of the ratio decided in Federal Bank Ltd-vs-Sagar Thomas & Ors , reported in 2003(III) CLR 801. However, since the Petitioner is ready and willing to pay the outstanding dues, this Court entertains the writ petition.

¶22

In view of the above submission of learned counsel for the Petitioner, this Court taking into consideration the fact that the Petitioner is earning his livelihood from the Truck bearing Registration No. OD-05-AW-1109 as well as the pandemic of COVID-19, this Court disposes of the writ petition with a direction that in the event the Petitioner deposits 50% of the total outstanding loan dues as on date within a period of four weeks hence, the vehicles in question shall be released. The Petitioner shall also file an undertaking before opposite party No.2 to pay the monthly installments regularly on rephasement of the rest of the EMIs. The Petitioner shall be provided with details of outstanding dues within two days from the date of filing of an application to that effect. The rest of EMIs will be rephased keeping in mind the Regulatory Package issued by the Reserve Bank of India on 21^st May 2020 during the pandemic situation of COVID-19.

¶23

Page 2 of 3

¶24

// 3 //

¶25

6.1 It is made clear that on failure on the part of the Petitioner to pay any of the instalments after rephasement, as stated above, the opposite party No.2 will be at liberty to take over possession of the vehicle in question.

¶26

Issue urgent certified copy of the order on proper application.

¶27

Judge

¶28

s.s.satapathy

¶29

Page 3 of 3

Niranjan Biswal v. Regional Manager, Rbi, Bbsr

Case brief

What is this about?

What did the court decide?

Niranjan Biswal v. Regional Manager, Rbi, Bbsr

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Cases cited

Parties & counsel

Coram

Case details

Similar cases

Balaram Mallick Vs Tahasildar, Dasarathapur, Jajpur

Mahendra Sahoo Vs State of Odisha

Arakhita Sahoo Vs State of Odisha

Manmatha Das Vs R.T.O., Chandikhole

Sanjay Das Vs a.R.T.O., Barbil

Bhubaneswar Naik Vs Shrimati Patel