Gujarat High Court
Tamilnad Mercantile Bank Ltd vs The Recovery Officer, Employee ... on 6 October, 2025
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C/SCA/13622/2025 JUDGMENT DATED: 06/10/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CIVIL APPLICATION NO. 13622 of 2025
FOR APPROVAL AND SIGNATURE:
HONOURABLE MRS. JUSTICE M. K. THAKKER
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Approved for Reporting Yes No
✔
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TAMILNAD MERCANTILE BANK LTD.
Versus
THE RECOVERY OFFICER, EMPLOYEE PROVIDENT FUND
ORGANISATION & ORS.
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Appearance:
MR.M.H.SONAR for Ms. HIMANI KINI(7489) for the Petitioner(s) No. 1
MR AV NAIR(5602) for the Respondent(s) No. 1
SHASHVATA U SHUKLA(8069) for the Respondent(s) No. 3
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CORAM:HONOURABLE MRS. JUSTICE M. K. THAKKER
Date : 06/10/2025
ORAL JUDGMENT
1. Rule returnable forthwith. Learned advocate
Mr.A.V.Nair waives service of Rule on behalf of
respondent no.1.
2. The present petition is filed under Article 226 of the
Constitution of India with following prayers:
"(A) Admit and allow the captioned petition;
(B) Your Lordships may be pleased to issue a writ of certiorari, or
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C/SCA/13622/2025 JUDGMENT DATED: 06/10/2025
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a writ in the nature of certiorari, or any other appropriate writ,
order or direction, quashing and setting the impugned notice dated
30.05.2025,22.08.2025 and 11.09.2025 passed by the Respondent
No.1 in Recovery case No.15/2169633/240;
(C) Pending hearing and final disposal of this petition, Your
Lordships may be pleased to stay the implementation, execution
and operation of the impugned notice dated 30.05.2025,
22.08.2025 and more particularly the order 11.09.2025 passed by
the Respondent No.1 in Recovery case No.15/2169633/240
warranting the personal appearance of the Petitioner under the
guise of a show cause notice;
(D) Your Lordships may be pleased to grant an ex-parte ad-interim
relief in terms of Para 10(С);
(E) Such further relief(s) as deemed fit in the facts and
circumstances of the case may kindly be granted in the interest of
justice."
3. Heard learned advocate Mr.M.H.Sonar for the petitioner
and learned advocate Mr.A.V.Nair for the respondent
no.1 i.e the EPF Authority.
3.1. Learned advocate Mr.M.H.Sonar submits that there
are two fixed deposits made by the defaulter with the
petitioner bank and against the said fixed deposits, bank
guarantees were issued in favour of respondent no.3 i.e
Assistant Commissioner of Custom, ICD, Khodiyar,
Ahmedabad. Learned advocate Mr.M.H.Sonar submits
that unless and until the validity of guarantee is
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completed the fixed deposit which is sought to be
transferred in the account of respondent no.1 cannot be
transferred and his submission is supported by the
circular issued by the RBI dated 01.07.2015. In view of
the above submission learned advocate Mr.M.H.Sonar
prays to allow the petition by setting aside the impugned
award issued by the EPF Authority.
3.2. Per contra, learned advocate Mr.A.V.Nair submits
that out of two bank guarantees one is already expired
and the remaining bank guarantee no.113BG200072
dated 19.11.2019 amount of Rs.1,15,000/- would be valid
upto 25.11.2025. Learned advocate Mr.A.V.Nair submits
that if the order is passed to transfer the fixed deposit
amount after 25.11.2025 qua the second fixed deposit,
then the respondent no.1 would not have any objection.
4. In view of above following order is passed:
(I) This petition is disposed of with clarification that fixed
deposit qua Bank Guarantee 113BG200071 dated
14.06.2019 for amount of Rs.2,00,000/- shall be
transferred immediately in the account of respondent
no.1 and qua bank guarantee no. 113BG200072 dated
19.11.2019 for amount of Rs.1,15,000/- as the bank
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guarantee is valid upto 25.11.2025, same shall be
transferred on completion of validity period.
5. Resultantly, this petition is disposed of accordingly. Rule
is discharged.
(M. K. THAKKER,J)
ARCHANA S. PILLAI
