J.K. Biswas, J. - (1.) The petitioners in this Article 226 petition dated July 2, 1999 are seeking a mandamus commanding the State Bank of India (in short SBI) "to forthwith release the fixed deposit amounts as mentioned at paragraph 2" of the petition.
(2.) Case of the petitioners stated in the para.2 of the petition is as follows: 2. Your petitioner No. 1 for its business purposes obtained a Bank Guarantee of the Respondent No. 1 at its Chowringhee Branch, for Rs. 10 lacs for a period of 1 years. As a condition thereof, your petitioners were asked to keep amounts of Rs. 10 lakhs in Fixed Deposit with the Respondent No. 1 at the said Branch, which your petitioner No. 1 did in 1993, such fixed deposit accounts bearing numbers 608991 and 608992 for 5 lakhs each. At any event, the said Bank Guarantee was not ultimately required and was allowed to lapse in 1994 and from that date, the Fixed Deposit Accounts, which amount to monies lent by the Writ Petitioners to the Bank till maturity, were free from any conditions whatsoever. The said Bank Guarantee was never renewed. Copies of documents substantiating the said transaction regarding Bank Guarantee are annexed herewith and marked collectively with the letter "A".
(3.) Case of SBI stated in para.6 of its affidavit -in -opposition dated July 27, 2001 is as follows: 6. With reference to paragraph 2 of the petition, I deny that the Fixed Deposit amounted to lending moneys to the first respondent. I say that the first respondent had a lien on the said Fixed Deposit Receipt for the loans and advances granted by the first respondent to the petitioners at the said Chowringhee Branch. In default of payment of the outstanding amount, in the account of the first petitioner, the first respondent in exercise of its rights of lien and set off, adjusted proceeds of the said Fixed Deposit Receipts against its claims.;