- (1.) Heard learned Counsel for the Petitioner as well as learned Counsel for the Respondent No. 4 Union Bank of India.
(2.) It is unfortunate that in the entire writ petition the area of the agricultural land held by the Petitioner has not been disclosed. However, learned Counsel for the Petitioner orally states that he has asked his client on telephone and his client has told him that total agricultural land with him is about 20 acres. It has been stated in paragraph 2 of the writ petition that Rs. 5 lac loan was advanced to the Petitioner by Union Bank of India for agricultural purposes. The Court specifically enquired as to whether this agricultural purpose included purchase of Tractor or not, the reply was in the negative. It is shocking to note that just in the name of agricultural purpose such a huge loan is being extended to the farmers. Advancing easy, huge loans is the main reason of large scale suicides committed by the farmers in the country. If an area of about 20 acres is in constant cultivation then every year hardly Rs. 50,000/- is required for seed, fertilizers etc. in order to grow normal crops. Giving ten times loan results in malpractices. The one is that the borrower may easily agree to take lesser amount (70% to 80%) after giving receipt of the whole. The other is that the amount is used by the farmers either for other non-productive purposes like construction of house, purchasing motorbike or marriage of daughter etc. or for other comforts or is squandered away. Obviously thereafter he is not in a position to return the amount. Consequently, the land is sold in realization of the loan along with interest for highly inadequate sale consideration. In several such cases suicide of the debtor/farmer either precedes or succeeds the auction sale of his agricultural land. Helping the farmers by advancing loan is a very laudable purpose, however, helping more than required is in essence against the interest of farmers. The Bank and the Central Government must realize it and reconsider its policy. No industrialist commits suicide due to non-payment of loan. This is fated only to the farmers. Presenting rosy schemes before the farmers and persuading them to take huge loan is certainly not in favour of the farmers. If only so much loan is given which is actually required it will be in real sense great help to the farmers.
(3.) In the instant case the allegation is that the Petitioner was advanced loan of Rs. 5 Lac in 2004 by the Respondent bank and he has paid back about Rs. 2 lac. Now the recovery proceedings have been initiated for recovery of Rs. 3,04,015/- + interest + collection charges + other charges, through citation issued by Tehsildar, Sagari, District Azamgarh dated 20.9.2010. It appears that either the figure of loan or of repayment given in paras 2 and 3 of the writ petition is wrong.;