NIRAJ KU. PUHAN Vs. C.M., INDIAN BANK

JUDGEMENT

(1.) THIS petition seeks quashing of proceedings initiated under the SARFAESI Act.

(2.) CASE of the petitioner is that the petitioner applied for a loan of Rs. 7,42,500/ - for agricultural activities. The loan was repayable in 84 monthly installments. Only a sum of Rs. 2,00,000/ - was disbursed on 5.11.2007. The said amount was adjusted from another account of the petitioner. The subsidy due to the petitioner was not disbursed. The Bank recalled the loan and created a demand of Rs. 3,05,846/ - on 20.4.2011. The petitioner sought adjustment of the subsidy amount which prayer was not accepted. In these circumstances, coercive measures initiated by the Bank are not justifiable. The property of value of Rs. 50,00,000/ - has been mortgaged with the Bank.

(3.) WE have heard learned counsel for the petitioner.