- (1.) The challenge in this appeal is to the decision of the High Court who in exercise of its jurisdiction under Article 226 of the Constitution directed the appellants to disburse the loan to the respondent which she had asked for.
(2.) Briefly stated the facts appear to be that the respondent had applied to the bank for a loan. The loan was sanctioned by the bank subject to two conditions, namely, that the respondent should mortgage her land and secondly guarantee of a particular person should be furnished. As the guarantee was not furnished, the bank refused to disburse the loan.
(3.) The respondent chose to file a writ petition and the High Court observed that the bank cannot refuse loan merely on the ground that the guarantee had not been furnished.;