ASHOK ANAND Vs. STATE BANK OF INDIA

JUDGEMENT

(1.) .In this petition under Article 226 of the Constitution, the relief claimed is for direction to the respondent (hereafter referred to as ?oSBI ? ) to consider and accept the proposal for settlement given by the petitioner in accordance with certain guidelines issued by the Reserve Bank of India.

(2.) The petitioner is a borrower; it had sought for various advances and credit facilities from the SBI. The current account of the petitioner was showing a debt balance of Rs. 22,97,791.46 as on 25th January, 2001 due to the devolvement of inland letters of credit . In the meanwhile, the petitioner had apparently given export bills to the tune of Rs.15,07,117/- to the SBI on 29th December, 2000 drawn under D/P at sight. That was paid on 22nd January, 2001. The SBI credited this amount in the Export Packing Credit, which was showing an outstanding amount of Rs.34,95,212.32 as on 31st March, 2000.

(3.) The petitioner avers that pursuant to the guidelines formulated by the RBI, for settlement of Non-performing Assets (NPA's), it proposed a ?oOne Time Settlement (OTS) ? . It has relied upon two circulars/guidelines dated 28th July, 1995 and 29th January, 2003, in that regard.