A man has approached Madras High Court after a cooperative bank allegedly refused to return his 138 gm gold jewels, citing a default of Re 1 in repayment of the loan that he had taken from the bank. In his petition, C Kumar, a customer of Pallavaram branch of Kancheepuram Central Cooperative Bank, has sought directions from the court. Recalling his struggle, Kumar informed the court that had been running from pillar to post for the past 5 years to get his gold worth Rs 3.5 lakh back from the bank, but the officials refused to look into the matter, saying that there is a default of Re 1 in repayment of the loan.
Hearing the matter, Justice T Raja on Friday asked the government’s counsel to get instructions from the concerned authorities within 2 weeks. The court also recorded the submissions by appellant’s lawyer Sathyan. The appellant, in his petition, has told the court that he had taken a loan of Rs 1.23 lakh from the co-operative bank by pledging his 131 grams of gold jewellery on April 6, 2010, which he settled after paying the whole amount and redeemed the total gold on March 28, 2011.
But in between this period, he took two fresh loans totalling Rs 1.65 lakh by pledging a total of 138 grams of gold. Later, he paid both loans and asked the bank to give his gold back, but the bank denied to return his gold saying that there is a default of Re 1 in each of the loans.
Appearing for his client and petitioner C Kumar, lawyer M Sathyan said that the bank refused to release jewellery even after several requests made by his client C Kumar, who even said he is ready to pay pending Re 1 for each loan on bank’s instructions.