The General Manager, Salem District … vs A. Elangovan on 6 January, 2025

Supreme Court – Daily Orders

The General Manager, Salem District … vs A. Elangovan on 6 January, 2025

Bench: J.K. Maheshwari, Aravind Kumar

     ITEM NO.36                                     COURT NO.7                      SECTION XII

                                      S U P R E M E C O U R T O F            I N D I A
                                              RECORD OF PROCEEDINGS

     Petition(s) for Special Leave to Appeal (C) No. 6649/2022
     [Arising out of impugned final judgment and order dated 28-07-2021
     in CRPNPD No. 2771/2018 passed by the High Court of Judicature at
     Madras]

     THE GENERAL MANAGER,
     SALEM DISTRICT CENTRAL COOPERATIVE BANK                                         Petitioner(s)
                                     VERSUS
     A. ELANGOVAN & ORS.                                                             Respondent(s)

     Date : 06-01-2025 This petition was called on for hearing today.

     CORAM :                HON'BLE MR. JUSTICE J.K. MAHESHWARI
                            HON'BLE MR. JUSTICE ARAVIND KUMAR

     For Petitioner(s)                      Mr. T. Harish Kumar, AOR
                                            Mr. Navneet Dugar, Adv.
                                            Mr. Subham Kothari, Adv.
                                            Mr. Shubham P. Chopra, Adv.

     For Respondent(s)                      Mr. P. R. Kovilan, Adv.
                                            Mr. V. N. Subramaniam, Adv.
                                            Ms. Anzu. K. Varkey, AOR
                                            Mr. Utham Harish, Adv.

                               UPON hearing the counsel the Court made the following
                                                  O R D E R

1) The present special leave petition has been filed by

the District Central Cooperative Bank challenging the

direction of the High court whereby the contractual interest

has been reduced to 12% from 20%.

2) During the course of hearing, it has been brought to

the notice of this court that the State government has

passed an Order dated 13.12.2023 whereunder the debt
Signature Not Verified

Digitally signed by settlement scheme has been brought into force by virtue of
NIDHI AHUJA
Date: 2025.01.18
10:36:40 IST

which certain benefits would accrue to the borrowers on the
Reason:

1
SLP (C) No. 6649/2022

strength of the aforesaid order. On the strength of the

aforesaid order the respondents-debtors has urged for

similar benefit being extended to them, which is stoutly

opposed by the petitioner contending inter alia the said

scheme is inapplicable to the facts on hand.

3) We are in agreement with the stand taken by the

petitioner herein. However, we notice that in the instant

case the respondent has paid the entire loan amount along

with interest @ 12% per annum pursuant to the order passed

by the High Court. Notwithstanding that the scheme being

inapplicable to the respondents and having regard to the

tenor of the terms of the scheme and exercising our power

under Article 142 of the Constitution of India and also the

fact that the respondents have already paid the amount we

restrict the interest payable on the amount borrowed to 9%

per annum. The excess interest of 3% that has been paid by

the petitioners shall be refunded by the petitioner to the

respondent in the peculiar facts obtained within a period of

eight weeks and we make it clear that same shall not to be

treated as a precedent for other cases if any.

4) The Special Leave Petition stand disposed of

accordingly. Pending application(s), if any, shall stand

consigned to records.

           (NIDHI AHUJA)                           (NAND KISHOR)
             AR-cum-PS                           COURT MASTER (NSH)


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