Vidya Sivaraman vs Catholic Syrian Bank Ltd.

The petitioner states that she availed an Education Loan of Rs.18 lakhs from the 1st respondent-Bank. The loan was to be repaid in 156

instalments. The petitioner would state that the repayment commenced from 01.11.2017 and the petitioner remitted `6,81,000/-. The petitioner fell ill

and she could not continue with the repayment promptly. The Bank granted extension for repayment from March, 2020 to August, 2020. Due to

Covid-19 pandemic, the petitioner was not in a position to make monthly instalments at the rate of Rs. 40,000/-and hence requested the Bank to

reschedule the loan repayment.

The Bank, however, declined to do so and informed the petitioner that the overdue will be deducted from Fixed Deposit offered as Guaranty. The

petitioner would state that if she gets a breathing time, she can clear the overdues and if the monthly instalment amount is reduced to Rs.33,150/-, she

will be able to repay the entire loan amount without default.

Heard the learned counsel for the petitioner and the learned Standing counsel for the 1st respondent-Bank.

The learned Standing Counsel for the s1t respondent-Bank stated that if the petitioner makes a fresh representation for such reliefs,

the 1st respondent can consider the same and take a decision as per rules and regulations.

In the circumstances, without making any adjudication on the claims made by the petitioner, the writ petition is disposed of directing the petitioner to

file a fresh representation before the 1st respondent within a period of one week. If the petitioner makes the representation within one week, the 1st

respondent shall consider the same and take a decision within a further period of one week and communicate the same to the petitioner. If the

petitioner files representation within one week as directed above, the 1st respondent shall abstain from effecting any recovery from the deposit/s, till a

decision is taken on the representation.