Petitioner sought direction to release remaining PMEGP loan sanction for rice mill construction. Court held the bank's letter was an internal communication, not an impugned order, and dismissed the petition as the petitioner failed to deposit mandatory collateral as per sanction terms.
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IN THE HIGH COURT OF JUDICATURE AT PATNA Civil Writ Jurisdiction Case No.19970 of 2016
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Ajeet Kumar Son of Sri Chandrabhushan Singh, resident of Village- Koil Bhupat, Police Station- Mehandia and District- Arwal.
... ... Petitioner/s
Versus
... ... Respondent/s
====================================================== Appearance : For the Petitioner/s : Mr.Manish Kumar No-2 For the Respondent/s : Mr. Suresh Prasad Singh No. 1 Ms. Kumari Rashmi ======================================================
CORAM: HONOURABLE JUSTICE SMT. G. ANUPAMA CHAKRAVARTHY
ORAL ORDER
7 29-04-2025
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 2/7
accounts for the construction of a rice mill which is in the name and style of “Kanha Rice Mill”.
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 3/7
tune of Rs. 6,00,000/- for the purpose of construction. The petitioner once again approached the 5th Respondent but, to his utter surprise, he received an information that the further amount would not be released in his favour. On enquiry, he subsequently, received a letter dated 24.08.2016 (Annexure-4) in which the petitioner was directed to return all the amount which was sanctioned to him. Being aggrieved by the same, the petitioner approached this Court by way of filing the writ application.
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 4/7
/information, got the term loan sanctioned for Rs.15,00,001/-(Fifteen lakhs and one rupee only) as well as working capital for Rs.7,49,000/-(Seven lakhs and forty-nine thousand only) vide sanction order no.434/15-16 dated 21.3.2016 in the name of “M/s Kanha Rice Mill” represented by its Prop. Ajeet Kumar.
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 5/7
taken the land for lease for a period of 15 years.
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 6/7
one Sohasa Rice Mill regarding the order for disbursal of loan amount.
Patna High Court CWJC No.19970 of 2016(7) dt.29-04-2025 7/7
the conditions of the sanction order clearly disclose that the petitioner himself has to deposit an amount of Rs. 5 Lakhs from his own sources as collateral security and till then the bank cannot disburse the loan amount.
(G. Anupama Chakravarthy, J)
Saif/-
U T
3 issues framed by the court
Whether an internal communication between bank officials regarding non-compliance with loan conditions and subsequent demand for return of funds constitutes an impugned order justiciable under Article
Whether the petitioner is entitled to a release of remaining loan amount when the sanction order conditions regarding collateral security were not complied with.
Whether the writ petition is maintainable given the lack of an impugned order and the petitioner's failure to make representations for fund release.
Ajeet Kumar
Madhya Bihar Gramin Bank and Others
G. Anupama Chakravarthy
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
