VIDYA SAHAKARI BANK LTD Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) Rule. Rule returnable forthwith.

(2.) The Vidya Sahakari Bank Ltd ("Vidya Bank"), a cooperative bank registered under the Maharashtra Cooperative Societies Act, 1960 ("MCS Act"), approaches us for a mandamus to quash impugned communications of 23/7/2022 and 20/9/2022 addressed by the Senior Police Inspector to the Inspector General of Registration and the Sub-Registrar of Assurances. By the impugned communications, the authorities have demanded a no objection for registering certain transfer documents, and it is claimed that a no objection certificate is required under the provisions of the Maharashtra Protection of Interest of Depositors (In Financial Establishment) Act, 1999 ("MPID Act"). Until then, the bank is told, transfer documents that it needs to execute to recover its debts cannot be registered and will not be permitted to be registered. What was sought to be registered was a Sale Certificate issued by the Petitioner bank in part or whole satisfaction of its debt.

(3.) The approach is entirely incorrect and unsustainable in law. This is quite apart from the fact there is not even a notification under the MPID Act.