Delhi High Court
Sadhu Singh Dagar vs The Delhi State Cooperative Bank on 30 August, 2012
Author: Suresh Kait
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P (C) No. 6226/2003
% Judgment reserved on: 23.08.2012
Judgment delivered on: 30.08.2012
SADHU SINGH DAGAR ..... Petitioner
Through: Mr. R.K. Saini and
Mr. Vikram Saini, Advs.
versus
THE DELHI STATE COOPERATIVE BANK
..... Respondent
Through: Mr. Anand Yadav, Adv.
SURESH KAIT, J.
1. Vide the instant petition, the petitioner is seeking direction to be
issued to the respondent to release the amount of Rs.3,91,692.61 ps
which was recovered from the retiral funds of the petitioner.
2. Mr. R.K. Saini, ld. Counsel appearing on behalf of the petitioner,
has submitted that the aforementioned amount was recovered by the
respondent bank arbitrarily and without proper procedure. The
respondent bank never initiated process of recovery against the
principal borrower, for recovery of the loan amount, in the courts of
law and to make it effectively. The principal borrower had given
undertaking in the form of affidavit that they were willing to re-pay
the loan amount legally repayable against them.
3. The respondents have filed counter affidavit to the instant
petition with the details of the loan amount recovered from the
petitioner's retiral funds wherein he stood surety and loan has not been
satisfied or the loan payments pending against the petitioner are as
under:-
"i. In regard to the loan taken by Sh. Vir Bhan at
Najaf Garh Branch of the Bank, it was reported by
the concerned Asstt. Collector that the petitioner
was surety in this loan case and an amount of
Rs.82979.40 in total was outstanding. The
petitioner had been summoned so many times for
recovery but he never bothered. The concerned
Branch Manager also reported that the petitioner
was a surety in this loan case and an amount of
Rs.82416.40 Plus cost of Rs.563/- (as reported by
the A.C. - II) totaling to Rs.82979.40 was finally
outstanding in this loan account.
ii. In regard to the loan taken by Shri Ram
Narain at Najaf Garh Branch of the bank it was
reported by the concerned AC-II that the petitioner
was surety in this loan case and an amount of
Rs.5303.21/- was outstanding. The petitioner was
summoned so many times of recovery but he never
bothered. The concerned Branch Manager has also
reported that the petitioner is surety in this loan
and an amount of Rs.4630.21 plus cost of Rs.673/-
(as reported by the AC-II) totaling Rs.5303.21 was
outstanding against this loan account.
iii. In regard to the loan taken by Shri Braham
Dutt Sharma at Najaf Garh Branch of the bank it
was reported by the concerned Assistant Collector
that the petitioner was the surety in this loan case
and an amount of Rs.55,508/- was outstanding. The
petitioner was summoned so many times for
recovery but he never bothered. The concerned
Branch Manager has also reported that the
petitioner is surety in this loan and an amount of
Rs.50442/- plus cost of Rs.5066/- (as reported by
the AC-II) totaling to cost of Rs.55,508/- was finally
outstanding against this loan account.
iv. An amount of Rs.125902/- loan for tubewell /
leveling of land was taken from L.D.B Section of the
Bank by the petitioner in the joint name with his
brother Shri Kehar Singh. The same has been
reported by the Manager. Accordingly, an amount
of Rs.125902/- has been deducted from final
payment of retrial benefits of the petitioner as per
bank rules.
v. An amount of Rs.1,22,000/- has been taken
by the petitioner as loan from the bank staff T/c.
Society and was due to the Society. Accordingly, a
sum of Rs.1,22,000/- has been deducted from final
payment / retrial benefits of the petitioner as this
was his liability to be paid to bank employees Coop.
T/c Society.
vi. An amount of Rs.5,000/- has been deducted
towards the outstanding amount of festival advance
taken by the petitioner.
The break up of the figures is given in the
table below:
For surety of Over Draft Rs.82,979.40
loan advanced to Sh. Vir
Bhan
For2 surety of Over Draft Rs.5,303.21
loan advanced to Sh. Ram
Narain
For surety of composite Rs.55,508.00
loan advanced to Shri
Braham Dutt Sharma
For loan from LDB Section Rs.1,25, 902.00
for tubewell and leveling of
land by the petitioner jointly
with his brother Shri Kehar
Singh.
Amount
5 of loan borrowed Rs.1,22,000.00
by petitioner from Bank's
Staff T/c. Society.
Festival
6 advance availed by Rs.5,000.00
petitioner
TOTAL Rs.3,96,692.61
Thus, out of the total amount of Rs.4,88,459/-
of the final payment of leave encashment and
gratuity at the time of retirement Rs.3,96,692.61
has been deducted towards liabilities of the
petitioner to be paid to the bank."
4. Ld. Counsel for the respondent has drawn the attention of this
Court to Annexure R-1 at page 44 (coly), containing various Office
Notes issued by Assistant Collector regarding recoveries against the
petitioner, which are reproduced below:-
" OFFICE NOTE 10.03.2003
A recovery case of Sh. Veer Bhan Dagar, S/o,
Sh.Chet Ram, R/o V.P.O. Ujwa,Delhi is pending in
recovery cell since long. Despite the repeated
summons & warrant of arrest, Sh. Veer Bhan is not
making any payments. Sh. Sadhu Singh Dagar,
Manager of our Bank, is the surety in this case. He
has also been summoned so many times for
recovery, but he never bothered. Now the position
of the above said loan as on 31.12.2002 is as
under:
Principle = Rs.29,236.00
Interest = Rs.50,425.00
Cost = Rs. 563.00
___________
Total = Rs.80,224.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector.
OFFICE NOTE 10.03.2003
A recovery case of Sh. Ram Narain, S/o, Sh.Shri
Chand, R/o V.P.O. Ujwa,Delhi is pending in
recovery cell since long. Despite the repeated
summons & warrant of arrest, Sh. Ram Narain is
not making any payments. Sh. Sadhu Singh Dagar,
Manager of our Bank, is the surety in this case. He
has also been summoned so many times for
recovery, but he never bothered. Now the position
of the above said loan as on 31.12.2002 is as
under:
Principle = Rs.1,860.00
Interest = Rs.2,604.00
Cost = Rs. 673.00
Total = Rs.5,137.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector.
OFFICE NOTE 10.03.2003
A recovery case of Sh. Braham Dutt Sharma, S/o,
Sh.Jai Narain, R/o Vill. Samaspur Khalsa, P.O.
Ujwa,Delhi is pending in recovery cell since long.
Despite the repeated summons & warrant of arrest,
Sh. Braham Dutt is not making any payments. Sh.
Sadhu Singh Dagar, Manager of our Bank, is the
surety in this case. He has also been summoned so
many times for recovery, but he never bothered.
Now the position of the above said loan as on
31.12.2002 is as under:
Principle = Rs.42,460.00
Interest = Rs.10,189.00
Cost = Rs. 5,066.00
___________
Total = Rs.57,715.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector.
OFFICE NOTE
A recovery case of Sh. Veer Bhan Dagar, S/o,
Sh.Chet Ram, R/o V.P.O. Ujwa,Delhi is pending in
recovery cell since long. Despite the repeated
summons & warrant of arrest, Sh. Veer Bhan is not
making any payments. Sh. Sadhu Singh Dagar,
Manager of our Bank, is the surety in this case. He
has also been summoned so many times for
recovery, but he never bothered. Now the position
of the above said loan as on 30.04.2003 is as
under:
Principle = Rs.29,236.00
Interest = Rs.52,[email protected]%
Cost = Rs. 563.00
___________
Total = Rs.82,057.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector./29.04.2003
LDB 2728
16-4-03
THE DELHI STATE COOPERATIVE BANK
LTD.
L.D.B Section
Certified that there is a Tubewell loan
amount of Rs.38,293, leveling loan amount of
Rs.1,09,500/- and interest of Rs.11,371/- as on 31-
3-2003 is still standing due with our section. This
amount is standing due in the joint account of Shri
Sadhu Singh Dagar, Manager (D-041) and Shri
Keher Singh S/o, Mangal Singh, R/o Samas Pur
Khalsa.
Manager 12/04/2003
LDB Section
The Delhi State
CO-OP. Bank Emp's Co-op. Thrift & Credit
Society Ltd.
REGISTRATION NO. 32 (U4) ON 12-06-62
31, NETAJI SUBHASH MARG,
DARYA GANJ,
NEW DELHI - 110002
Ref. NO............. Dated:20.04.2003
The Manager (Estt.)
Head Office
Sub:- NO DUES CERTIFICATE
A sum of Rs.1,22,000/- is outstanding in the name
of Sh.Sadhu Singh Dagar, Manager as loan who is
going to be retired from the Bank Services on 30-
04-2003.
Vice-President
OFFICE NOTE
A recovery case of Sh. Ram Narain, S/o,
Sh.Shri Chand, R/o V.P.O. Ujwa,Delhi is pending
in recovery cell since long. Despite the repeated
summons & warrant of arrest, Sh. Ram Narain is
not making any payments. Sh. Sadhu Singh Dagar,
Manager of our Bank, is the surety in this case. He
has also been summoned so many times for
recovery, but he never bothered. Now the position
of the above said loan as on 30.04.2003 is as
under:
Principle = Rs.1,860.00
Interest = Rs.2,715.00 @ 18%
Cost = Rs. 673.00
___________
Total = Rs.5,240.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector./29.04.2003
OFFICE NOTE
A recovery case of Sh. Braham Dutt Sharma,
S/o, Sh.Jai Narain, R/o Vill. Samaspur Khalsa, P.O.
Ujwa,Delhi is pending in recovery cell since long.
Despite the repeated summons & warrant of arrest,
Sh. Braham Dutt is not making any payments. Sh.
Sadhu Singh Dagar, Manager of our Bank, is the
surety in this case. He has also been summoned so
many times for recovery, but he never bothered.
Now the position of the above said loan as on
30.04.2003 is as under:
Principle = Rs.42,460.00
Interest = Rs. 6,[email protected] 17%
Cost = Rs. 5,066.00
___________
Total = Rs.54,309.00
Submitted for necessary action for recovery from
Sh. Sadhu Singh Dagar, Manager.
A.G.M. Estt.
J.S. Mann,
Asst. Collector./29.04.2003"
5. After going through the recovery notes prepared by Assistant
Collector and loan amount due to the petitioner, the respondent bank
has rightly recovered the amount from his retiral benefits. The
employer has to see before the retirement of the employee, if there is
any dues against him. If so, then deduct the said amount and balance
pay to the employee.
6. In the present case, the respondent Bank received recovery notes
from Assistant Collector wherein the petitioner stood surety. Also
received notes from the concerned Department of Bank by intimating
that the petitioner was retiring and loan is outstanding against him.
Accordingly, the respondent Bank, calculated the total amount and
recovered from his retiral benefit.
7. In view of the facts and circumstances of this case, I find no
discrepancy in the orders passed by the respondent Bank. Therefore, I
am not inclined to interfere therein.
8. Consequently, instant petition is dismissed with no order as to
costs.
SURESH KAIT, J
AUGUST30, 2012
RS/jg
