Adhithyan R. Krishnan vs Union Bank Of India
2023 Latest Caselaw 2439 Ker

               IN THE HIGH COURT OF KERALA AT ERNAKULAM
                               PRESENT
               THE HONOURABLE MR. JUSTICE SHAJI P.CHALY
    FRIDAY, THE 24TH DAY OF FEBRUARY 2023 / 5TH PHALGUNA, 1944
                        WP(C) NO. 4658 OF 2023
PETITIONER:

          ADHITHYAN R. KRISHNAN,
          AGED 42 YEARS
          S/O. RADHAKRISHNAN T.R.,
          BINDU NIVAS,
          SEA VIEW WARD, BAZAR POST,
          ALAPPUZHA - 688 012,
          REP.BY ITS POWER OF ATTORNEY HOLDER USHA RADHAKRISHNAN,
          W/O. RADHAKRISHNAN. T. R,
          BINDU NIVAS, SEA VIEW WARD,
          BAZAR POST ALAPPUZHA,
          PIN - 688012

          BY ADVS.B.PRAMOD
                  BIJU VIGNESWAR
                  AYYAPPADAS V


RESPONDENTS:

    1     UNION BANK OF INDIA
          ALAPPUZHA BRANCH,
          KABEER PLAZA,
          VADAI CANAL ROAD,
          MULLACKAL, ALAPPUZHA DISTRICT, KERALA,
          REPRESENTED BY ITS MANAGER., PIN - 688011

    2     THE MANAGER,
          UNION BANK OF INDIA,
          ALAPPUZHA BRANCH,
          KABEER PLAZA,
          VADAI CANAL ROAD, MULLACKAL,
          ALAPPUZHA DISTRICT, KERALA, PIN - 688011

          BY SHRI.A.S.P.KURUP, SC, UBI


     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
24.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.P.(C.) No. 4658 of 2023             2




                                    JUDGMENT

This writ petition is filed by the petitioner, a student

aspiring a Diploma course leading to a graduate course.

Petitioner has filed W.P.(C.) No. 37979/2022 challenging

Ext.P5 rejection order dated 19.09.2022 passed by the

respondent Union Bank of India, whereby educational loan

was declined to the petitioner. Apparently in W.P.(C.) No.

37979/2022 filed by the petitioner, an interim order was

passed by this Court directing the bank to reconsider the

matter taking into account all attendant documents

produced by the petitioner and accordingly, Ext.P11 order is

passed, again rejecting the request made by the petitioner

for education loan. There are certain allegations also made

against the petitioner in Ext.P11. Petitioner challenges the

legality and correctness of the stand adopted by the Bank,

in the writ petition basically relying upon Exts.P2 and P3

communications, dated 05.07.2022 and 13.07.2022,

respectively issued by the Samundra Institute of Maritime

Studies, Pune, Maharashtra and also Ext.P7 prospectus

issued by the said Institute. According to the learned

counsel for the petitioner, the bank has arrived at the

conclusions in Ext.P5 without understanding the manner in

which the course is to be undertaken as narrated in

Exts.P2, P3 and P7 of the Samundra Institute of Maritime

Studies.

2. I have heard learned counsel for the petitioner,

Sri. B. Pramod and learned Standing Counsel for the Union

Bank of India, Sri. A.S.P. Kurup and perused the pleadings

and material on record.

3. In my considered opinion the findings rendered

by the bank in Ext.P5 that the duration of the course is only

one year and therefore, the request made by the petitioner

for a loan to pursue a degree course cannot be granted is

not sustainable, taking into account the contents of

Exts.P2, P3 and P7 issued by the Institute in question. In

order to have a proper appreciation of the said issue, it is

better that the relevant portion of the letters issued by the

College in question to the petitioner and the prospectus are

extracted.

4. Paragraphs 1 and 2 of Ext.P2 letter dated

05.07.2022 reads as follows:-

"1.It give us pleasure to inform you that you have been selected for the one-year Diploma in Nautical Science (DNS) Leading to Bsc (Applied Nautical Science) at Samundra Institute of Maritime Studies, Lonavala. The course details are given below:-

            (a)        Course                : One year Diploma
                                               in Nautical Science
                                               Leading to B.Sc
                                               (Applied Nautical
                                               Science)

            (b)        Date of Commencement : 16th August 2022
                                              (Subject to Change
                                              as per IMU
                                              Instructions)

            (c)        Duration              :   01 Year

2. Upon successful completion of the one-year Pre-Sea training course at Lonavala, you will continue your further training as a Deck Cadet (which is a requirement from approving authorities of this course) onboard ships managed by M/s. Executive Ship Management Pte Ltd., Singapore in order to become eligible to appear for the Second Mate's Certificate of Competency examination. During your training in the Institute and onboard ship, you shall be bound and

governed by the rules and regulations of the Institute and Shipping Company."

5. Similarly, paragraphs 1 and 2 of Ext.P3 dated

13.07.2022 reads as follows:-

"This is to state that, the candidate Mr. ADHITHYAN R. KRISHNAN (DNS0385_ Aug_22) has been short listed and selected to join our institute, after Entrance Examination. Interview, Psychometric Test and Medical Test, for Nautical Science course leading to Three years degree in B.Sc-Nautical Science awarded by INDIAN MARITIME UNIVERSITY -CHENNAI, under approval of Directorate General of Shipping, Govt of India, in M/s. Samundra Institute of Maritime Studies (SIMS). Lonavala (A training commitment of Executive Ship Management Pte Ltd. Singapore) course commencing on 16 th August 2022. The candidate has also cleared the IMU-CET which is mandatory to join the said course for the current batch and he was Ranked 4404 on all India level.

Upon successful completion of this in-campus training, the candidate is to undergo minimum 18 months of on- board ship training as Deck cadet with a monthly stipend of US$

250. Thereafter, the candidate will be eligible to appear for Second Mate Examination conducted by the Directorate General of Shipping, Govt of India, leading to obtain Second Mate (CoC). This will entitle him to join as 3 rd Officer on board ships. The wages offered at that time will depend upon the market conditions However, as of today a Navigating Officer holding a Second Mate Certificate of Competency (COC) earns a salary of US $1200. US $2000 per month on Foreign going (FG) vessels, depending on the trade and type of the ship he joins."

6. So also paragraph No. 3 of Ext.P7 prospectus

dealing with career path reads as follows:-

"3. Career Path:

3.1) FOR DECK OFFICER:

                     STREAM                DECK CADET

                  Pre-Sea       One year Pre-Sea Training

Education & Course at SIMS including Training the following STCW Courses: PST, FPFF, EFA, PSSR, BTOCT/BTGT Awarded Diploma in Applied Nautical Science by IMU (DNS)

SEA-GOING Minimum 18 months On SERVICE board training with DLP (at sea) Awarded Advanced Diploma in Applied Nautical Science (ADNS) by IMU

POST-SEA 4 Months (Post Sea) + STCW Courses Awarded Education & B.Sc. (Nautical Science) Training Degree by IMU Radar & ARPA Simulator training at Operational Level GMDSS (GOC)

PSC & RB AFF and MFA Successfully appears for 2nd mate (FG) exam conducted by MMD 2nd Mate Certificate of Competency by D.G. Shipping (Govt. of India)

On a consideration of the above said aspects conjointly, it

can be seen that, as is stated by the respondent Bank in

Ext.P5 that the petitioner is undertaking only a Diploma

course of one year may not be correct. It is also evident

from Exts.P2 and P3 letters and the appropriate provision

of Ext.P7 prospectus extracted above that the Diploma

course of one year would lead to a Degree course of B.Sc.

(Applied Nautical Science). Therefore, I am of the view that

the Bank has not considered the request of the petitioner

for a loan for completion of the degree course

appropriately. Even though in an earlier writ petition, a

direction was issued by this Court to consider the request

made by the petitioner, taking into account all attendant

documents, I do not think the bank has applied its mind

properly; and consequent to which Ext.P11 order also

cannot be said to be in accordance with law and the

directions issued by this Court in the earlier round of

litigation.

7. Therefore, Exts. P5 and P11 decisions taken by

the bank are hereby quashed. Consequently, there will be

a direction to the respondent Bank to reconsider the loan

application submitted by the petitioner taking into account

the above discussed factors and arrive at an independent

conclusion, irrespective of the findings in Ext.P11, at the

earliest, at any rate, within two weeks, if required after

securing participation of the petitioner.

The writ petition is disposed of, accordingly.

Sd/-

SHAJI P. CHALY JUDGE

DCS/24.02.2023

APPENDIX

PETITIONER EXHIBITS

EXHIBIT P1 TRUE COPY OF THE LIST OF INSTITUTIONS AFFILIATED TO THE INDIAN MARITIME UNIVERSITY

EXHIBIT P2 TRUE COPY OF THE LETTER DATED 05.07.2022 ISSUED BY THE SAMUDRA INSTITUTE OF MARITIME STUDIES, LONAVALA PUNE, MAHARASHTRA TO THE PETITIONER INFORMING HIM ABOUT HIS SELECTION FOR THE SAID COURSE

EXHIBIT P3 TRUE COPY OF THE LETTER DATED 13.07.2022 ISSUED BY THE SAMUDRA INSTITUTE OF MARITIME STUDIES, LONAVALA PUNE, MAHARASHTRA

EXHIBIT P4 TRUE COPY OF THE FEES STRUCTURE ISSUED BY THE SAMUDRA INSTITUTE OF MARITIME STUDIES, LONAVALA PUNE, MAHARASHTRA

EXHIBIT P5 TRUE COPY OF THE LETTER DATED 19.09.2022 ISSUED BY THE 2ND RESPONDENT

EXHIBIT P6 TRUE COPY OF THE STATEMENT DATED 16.12.2022 FILED BY THE RESPONDENTS

EXHIBIT P7 TRUE COPY OF THE PROSPECTUS FOR THE COURSE DIPLOMA IN NAUTICAL SCIENCE (DNS) LEADING B. SC. (APPLIED NAUTICAL SCIENCE) ISSUED BY SAMUDRA INSTITUTE OF MARITIME STUDIES, LONAVALA PUNE, MAHARASHTRA

EXHIBIT P8 TRUE COPY EDUCATIONAL LOAN SCHEME FOR PURSUING HIGHER EDUCATION IN INDIA AND ABROAD' FRAMED BY THE INDIAN BANK ASSOCIATION WITH THE CONCURRENCE OF THE RESERVE BANK OF INDIA

EXHIBIT P9 TRUE COPY OF THE REVISED GUIDANCE NOTES ON 'MODEL EDUCATIONAL LOAN SCHEME FOR PURSUING HIGHER EDUCATION IN INDIA AND ABROAD'

EXHIBIT P10 TRUE COPY OF THE INTERIM ORDER DATED 20.01.2023 IN W. P. (C) NO. 37979/2022

EXHIBIT P11 TRUE COPY OF THE ORDER DATED NIL PASSED BY THE 2ND RESPONDENT REJECTING THE LOAN APPLICATION OF THE PETITIONER

EXHIBIT P12 TRUE COPY OF THE ORDER DATED 01.02.2023 IN CON. CASE (C). NO. 237/2023 PASSED BY THIS HON'BLE COURT