- (1.) R. H. Zaidi, J. Heard learned Coun sel for the parties.
(2.) BY means of this petition filed under Article 226 of the Constitution of India, the petitioners pray for quashing the recovery proceedings initiated against them by respondent Bank. It appears that petitioners took loan from respondent-Bank but com mitted default in payment of amount of loan. Consequently respondent-Bank is sued a recovery certificate on the basis of which the amount in question is being recovered from the petitioners as arrears of land revenue. Learned counsel for the petitioners submitted that petitioners are willing to deposit the amount in question but on account of financial problems, it would not be possible for them to deposit the whole amount in lump sum. He prayed that petitioners may be permitted to deposit the amount in question in three instalments of equal amount within six months. Learned Counsel appearing for the respondent Bank has got no objection if the petitioners are permitted to deposit the amount in question in three instal ments within six months. In view of the aforesaid facts, this petition is disposed of finally with the direction that recovery proceedings in itiated against the petitioners shall remain stayed for a period of six months provided the petitioners deposit the amount in question in three instalments. The first ins talment shall be deposited within a period of two months, the second instalment within a period of four months and the third and last instalment within a period of six months, from today. The amount, if any, already deposited by the petitioners shall be ad justed. The property movable or immovable of the petitioner, if any, attached in the recovery proceedings, after first instalment is deposited and in case the property of the petitioners have not been attached or sold the respondent shall not be entitled to charge the recovery charges from the petitioners, in view of law laid down in Mirza Javed Murtaza v. UP. Financial Corporation, AIR 1983 Alld. 234. The respondent-Bank will charge simple interest from the petitioners in view of the decision of apex Court in Corporation Bank v. Gowda and another, JT 1998 (7) SC 87, unless the agreement of loan entered into between the parties provides to the contrary.
(3.) AFTER two instalments are deposited, the respondent-Bank shall fur nish statement of account to the petitioners in terms of direction noted above. The amount if any found due shall be deposited by the petitioners within the time specified above. If the whole amount is paid by the petitioners as indicated above, the recovery proceedings initiated against them shall be dropped failing which the respondent shall be at liberty to recover the amount out standing against the petitioners in accord ance with law. Petition disposed of. .;