Mehul Mehta vs Union Of India
2023 Latest Caselaw 853 Bom

                                                                      P-2-OSWL-2355-2023.DOC




                   Shephali



                        IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                               ORDINARY ORIGINAL CIVIL JURISDICTION
                                   WRIT PETITION (L) NO.2355 OF 2023


                   Mehul Mehta                                                 ...Petitioner
                        Versus
                   Union of India & Anr                                     ...Respondents


                   Mr Amogh Singh, with Chandan Singh Shekhawat, Samruddhi
                       Bendbhar, i/b Parinam Law Associates, for the Petitioner.
                   Mr DP Singh, for the Respondent-UOI-Immigration Department.



                                             CORAM        G.S. Patel &
                                                          S.G. Dige, JJ.

                                             DATED:       24th January 2023
                   PC:-
SHEPHALI
SANJAY
MORMARE

Digitally signed
by SHEPHALI
SANJAY

1. Not on board. Mentioned. Taken on board. MORMARE Date: 2023.01.24 15:05:37 +0530

2. The Petition has just been filed. Last night as the Petitioner was about to board a flight to Vietnam, he was stopped at immigration. He was told that there is an outstanding Look Out Circular issued by the Bureau of Immigration against the Petitioner at the instance of the 2nd Respondent, Punjab National Bank. This is apparently in relation to a loan transaction between Varun International Trading FZE of which the Petitioner is or once was a director. Varun International Trading FZE is a company

24th January 2023 P-2-OSWL-2355-2023.DOC

incorporated in Dubai. The transaction was between Punjab National Bank and the Dubai company some time in the year 2011. The Petitioner had personally guaranteed the loan that the company took from the Punjab National Bank. From 2011 until yesterday, there was been no interruption of the Petitioner's travels. It is said that the company was in default in 2014. However, between that date and today, the Petitioner has passed through the immigration and re-entered the country more than 14 times as the stamps on his passport show. All of a sudden and with no prior notice or hearing, and for no fresh reason anyone can tell, this LOC is being used against him.

3. The Petitioner proposes to leave India to go to Vietnam to attend a family wedding. He is scheduled to return very shortly on Monday, 30th January 2023.

4. A few weeks ago, we heard a group of Petitions challenging the LOCs and the Office Memoranda under which they are issued. The Petitions all claim that these LOCs and the Office Memoranda permitting public sector banks to trigger such LOCs violate fundamental rights. This position was contested inter alia by the banks.

5. Having heard parties at some length, we reserved the judgment. It will be pronounced shortly.

6. In a number of cases, however, before that final hearing, during it and thereafter we have permitted Petitioners and

24th January 2023 P-2-OSWL-2355-2023.DOC

Applicants before us to travel overseas subject to some limited conditions. These permissions are not open-ended. They are for specific periods of time. The larger question the present Petition raises will considered at a later stage. It may even be entirely covered by the proposed judgment one way or the other, in the group of Petitions that was finally heard.

7. However, in the meantime, we see no reason to refuse the interim relief. The Petitioner has roots, family and assets in India. His proposed travel is for a very limited period of time. Consequently, we grant the Petitioner permission to travel between 24th January 2023 and 31st January 2023. This order will also be subject to the usual conditions, viz.,

(i) the Petitioner is to file an undertaking to return to this country at the end of this period, if not already done;

(ii) the Petitioner is to file a detailed itinerary with his contact details and addresses overseas, if not already done;

(iii) The Petitioner must file an undertaking (if not already done) not to apply for renewal or extension of this order until he returns to this country.

8. Subject to these conditions, the LOC in question against the Petitioner is stayed until 2nd February 2023.

24th January 2023 P-2-OSWL-2355-2023.DOC

9. The immigration authorities at all ports of departure including all airports will permit the Petitioner passage and permit the Petitioner to take his flights out of the country irrespective of whether the Punjab National Bank has notified them or not and irrespective of whether this suspension is noted in the immigration authorities' systems or not.

(S. G. Dige, J)                                         (G. S. Patel, J)





                               24th January 2023