Kerala High Court
Unknown vs By Adv. Sri.K.P.Balagopal on 24 February, 2010
Author: P.N.Ravindran
Bench: P.N.Ravindran
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT:
THE HONOURABLE MR.JUSTICE P.N.RAVINDRAN
FRIDAY, THE 3RD DAY OF FEBRUARY 2012/14TH MAGHA, 1933
WPC.No. 34450 of 2011 (E)
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PETITIONER
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S.ROMIYO XAVIER, AGED 32 YEARS,
S/O.STANISLANS,NJANI VEEDU, PAZHANIYAR PALAYAM P.O.,
KOZHINJAMPARA, CHITTOOR TALUK, PALAKKAD DISTRICT,
PIN 678555.
BY ADV. SRI.K.P.BALAGOPAL
RESPONDENTS
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1. THE PALAKKAD PRIMARY CO-OPERATIVE
AGRICULTURAL AND RURAL DEVELOPMENT BANK LTD.,
NO.F 1029, R.C.ROAD, PALAKKAD- 678014.
2. THE GRIEVANCE REDRESSAL OFFICER,
PALAKKAD PRIMARY CO-OPERATIVE AGRICULTURAL &
RURAL DEVELOPMENT BANK LTD., NO.F 1029,R.C.ROAD,
PALAKKAD-678014.
3. THE REGISTRAR OF CO-OPERATIVE SOCIETIES,
THIRUVANANTHAPURAM-695001.
R1 BY SRI.A.R.GANGADAS
BY GOVERNMENT PLEADER SRI.G.GOPAKUMAR
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
03-02-2012, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
MG
WPC.No. 34450 of 2011 (E)
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APPENDIX
PETITIONER'S EXHIBITS:-
EXT.P1:- COPY OF THE RECEIPT ISSUED BY THE 1ST RESPONDENT DATED
24.02.2010.
EXT.P2:- COPY OF THE WRITTEN GEHAN SHOWING THE ENTRY FOR CLOSURE OF
LOAN ACCOUNT AND RETURN OF DOCUMENTS ON 24.02.2010.
RESPONDENT'S EXHIBITS:- NIL
//TRUE COPY//
PA TO JUDGE
MG
P.N.RAVINDRAN, J.
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W.P.(C) No. 34450 OF 2011
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Dated this the 3rd day of February, 2012
J U D G M E N T
The petitioner availed a loan from the first respondent co- operative bank in the year 2004-2005 on the security of a parcel of land, 3.50 acres in extent, situate in Elappully Village, Palakkad Taluk, Palakkad District. The petitioner had executed a Gehan creating a charge on the aforesaid lands in favour of the first respondent bank as security for repayment of the money advanced by it as loan. The petitioner repaid the loan in full on 24.2.2010. This writ petition is filed contending that though the loan account was closed and nearly two years have passed thereafter, till date, the first respondent bank has not taken steps to release the Gehan created in its favour. In this writ petition, the petitioner seeks a direction to the first respondent bank to release the Gehan created over his properties.
2. The respondents have been served and they have entered appearance through counsel. When the writ petition came up for hearing today, Sri.A.R.Gangadas, learned counsel for the first respondent bank submitted on instructions that though the petitioner has closed the loan account and the release deed was also prepared, it was not executed and a copy thereof was not sent to the registering WPC No.34450/2011 2 authority for filing it in Book No.1 in terms of the provisions contained in section 10 of the Kerala State Co-operative (Agricultural and Rural Development) Banks Act, 1984. The learned counsel appearing for the first respondent bank submitted that the bank will execute the necessary release deed and send a copy thereof to the Sub Registrar having jurisdiction within ten days from today.
3. Sub sections (4) and (5) section 10 of the Kerala State Co- operative (Agricultural and Rural Development) Banks Act deal with registration of Gehan and release deeds. Sub sections (4) and (5) of section 10 of the Kerala Co-operative (Agricultural and Rural Development) Banks Act as substituted with effect from 23.6.2004 read as follows:
"(4) Notwithstanding anything contained in the Registration Act, 1908 (Central Act 16 of 1908), or in any other law for the time being in force, it shall not be necessary to register any Gehan or mortgage or hypothecation created or executed in favour of the Agricultural and Rural Development Bank or a primary bank and the release deeds thereof executed by the said banks, provided the Agricultural and Rural Development Bank or a primary bank, as the case may be, sends, within such time and in such manner as may be prescribed, a copy of the declaration or instrument whereby the Gehan or mortgage or hypothecation has been created or executed for the purpose of securing repayment of the loan or, as the case may be, the release deed thereof, to the registering officer within the local limit of whose jurisdiction the whole or any part of the property to which the Gehan or mortgage or hypothecation, or, as the case may be, the release, WPC No.34450/2011 3 relates is situated.
(5) On receipt of the copy of the declaration or instrument or the release deed sent under sub-s.(4), the registering officer shall file a copy or copies thereof, as the case may be, in Book No.1, referred to in S.51 of the Registration Act, 1908 (Central Act 16 of 1908) and thereupon such Gehan or mortgage or hypothecation or release deed shall be deemed, as the case may be, to create an interest or to extinguish the interest created, in the property to which the declaration, instrument or release deed relates and shall constitute notice thereof to any one dealing with the said property."
4. Pursuant to the said amendment, the Kerala State Co- operative (Agricultural and Rural Development) Banks Rules, 1986 has been amended by prescribing the form in which the release deed has to be executed namely, Form No.VI. In view of sub section (4) of section 10 of the Act, it is not necessary for the first respondent bank to register the release deed. It is enough if a copy of the release deed is sent to the registering officer having jurisdiction. As per sub section (5) of section 10 as amended, the registering officer is bound on receipt of a copy of the release deed to file a copy thereof in Book No.1 referred to in section 51 of the Registration Act, 1908. It is further provided that thereupon the release deed shall be deemed to extinguish the interest created in the property to which the release deed relates and shall constitute notice thereof to anyone dealing with the said property.
WPC No.34450/2011 4
5. In the light of the stand taken by the first respondent that the petitioner has fully repaid the loan and it has no subsisting interest over the immovable property mortgaged as security, I dispose of the writ petition with a direction to the first respondent bank to execute a release deed in Form No.VI prescribed by the Kerala State Co- operative (Agricultural and Rural Development) Banks Rules, 1986 and forward a copy thereof to the Sub Registrar having jurisdiction over the area where the property, which is the subject matter of the Gehan is situate. The Sub Registrar shall upon receipt of a copy of the release deed file it in Book No.1 referred to in section 51 of the Registration Act, 1908. Needful in the matter shall be done, the release deed executed by the first respondent and a copy thereof sent to the Sub Registrar within two weeks from the date of receipt of a certified copy of this judgment.
P.N.RAVINDRAN, (JUDGE) vps WPC No.34450/2011 5 WPC No.34450/2011 6