HARI SAGAR EDUCATIONAL TRUST Vs. UTTARANCHAL GRAMIN BANK

JUDGEMENT

(1.) Since both the writ petitions raise a common question of law, the same is being decided together. For facility, the facts of Writ Petition No. 707 (M/S) of 2011 are being taken into consideration.

(2.) The petitioner is a Trust duly registered before the Sub-Registrar, Vikas Nagar, District Dehradun and has opened an education institution for starting an M.B.A. course. The petitioner applied for a loan for the purpose of establishing a college. The respondent Bank sanctioned a term loan for ' 80 lacs which was to be repaid in annual instalments of '13.33 lacs with effect from 1st August, 2009.

(3.) The loan was sanctioned on obtaining a security agreement, and an equitable mortgage by deposit of title deeds, etc. on 13th August, 2008. It transpires that the petitioner committed a default in paying the first instalment and made a representation. The Bank sympathetically considered the matter and rescheduled the first instalment and the petitioner was required to pay the instalment by August, 2009.