CHANDAN SINGH Vs. UNION BANK OF INDIA GUNSARA

JUDGEMENT

(1.) THE case of the petitioner is that he availed a loan of Rs.4,33,000/- from the Union Bank of India, Gunsara Branch (Bharatpur) for the purchase of a tractor on or about 28-6-2005 and was unable to discharge his obligation of repayment of loan along with the interest at the contracted rate. It appears that the respondent Bank issued a final notice on 7-3-2012 informing the petitioner that as on 30th September, 2011 an amount of Rs.6,34,626/- was due against the petitioner. It was stated in the notice that in terms of scheme then in force with the bank for the benefit of defaulting borrowers of agricultural loans the petitioner was required to pay Rs.3,35,840/- out of Rs.6,34,626/- till 31-3-2012, consequent to which the petitioner was being given a rebate of Rs.2,98,786/-. The petitioner was also informed that in the event he failed to make payment as offered till 31-3-2012, the petitioner would be disentitled to any concession under the offer and he would be liable to pay the entire amount Rs.6,34,626/- along with further interest.

(2.) INSTEAD of availing the offer made by the respondent Bank, the petitioner dithering on the offer appears to have demanded statement of his account from the Bank, as also details of certain agricultural loan exemption and relief scheme, 2008 issued by the Central Government for providing benefit to small scale farmers. The petitioner however chose not pay the concessional amount as required by him till 31-3-2012 in terms of the notice dated 7-3-2012. That was a conscious choice the petitioner made.

(3.) EVEN otherwise loans by a bank to its borrower are a matter of contract and the counsel for the petitioner apart from admitting the petitioner's default in discharging his obligations to the Bank has not been able to point out any illegality in the actions of the respondent Bank. There is no force in the writ petition and the same is liable to be dismissed.