High Court · 2025

Judgment

5. o.

7. B. Union of lndia, Represent by it's Secretary, Ministry of Finance, New Delhi Reserve Bank of lndia (RBl) Represent by its Chief General ftilanager, 6, Sansad Marg, New Delhi - 110001

Reserve Bank of lndia (RBl), Represent by its Chief General firlanager, 6, Sansad Marg, New Delhi - 1 10001 RBL Bank, Rep. by its Chief Manager Shop no 5-4110 and 5-4i1 'l Ground floor, Chanda Nagar, Hyderabad, Telangana 500050 BAJAJ FINANCE Limited, Rep. by its Chief Manager, 6th Floor, Bajaj Finsery Corporate Office, Pune-Ahmednagar Road, Viman Nagar, Pune, [Vlaharastra - 411014. HDB Financial Services Limited, Rep by its Chief Manager, LIG-891, Dharma Reddy Colony Phase l, Kukatpally, Hyderabad, Telangana 500085 SBI Cards and Payments Services Limited (SBl Card), Rep. by its Chief Manager, State Barik of lndia Credit Cards Unit Nos 3C 3D and 3E 3rd Floor Queens Plaza 18382 Queens Plaza SP Road Secunderabad Telangana500003 fiiluthoot finance Limited, Rep by its Chief Manager, First Floor, Srinivasa Complex, Piller number 813, H. No. '15-21-4612, M J Colony, Balaji Nagar, Kukatpally, Hyderabad, Telangana 50OO72 ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate Writ, Order, or Direction, more particularly in the nature of Writ of Mandamus, declaring the action of respondent Nos. 3 to 7 in attempting to recover amounts from the petitioner in an arbitrary, illegal, and high- handed manner without following the due process of law and in blatant violation of the Reserve Bank of lndia Circular dated 12.08.2022 bearing No. RBI/2022-231 108, DOR.ORG.REC.65/21.04.15812022-23, and further declaring the inaction of respondent No. 2 in enforcing the said Circular as unconstitutional and violative of Articles 14, 19, and 21 of the Constitution of lndia, ald consequently direct the respondent authorities to refrain from undertaking any coercive or unlawful recovery measures against the petitioner and to strictly comply with the due process of law and the aforesaid Circular in all recovery proceedings, and further restrain respondent Nos. 3 to 7, their agents, recovary agents excutives, managers, or any person acting on their behalf from engaging in any acts of intimidation, harassment, humiliation, or intrusion into the privacy of the petitioner or his family members, referees or fliends, including persistent or anonymous calls, threatening messages, or physical visits to the petitioners premises, and fufther direct respondent No. 2 to enforce the said RBI Circular in letter and spirit and to initiate appropriate and stringent action against the errant officials of respondent Nos. 3 to 7 for violating legal norms, and pending disposal of the writ petition, direct the respondent Nos. 3 to 7 not to resort to any coercive measures against the petitioner except through lawful means and in strict adherence to the Circular dated 1 2.O8.2022. Counsel for the Petitioner : SRI NAKKA KIRAN KASH counserf ortheRespondentNo.l_rd..r:i,:;,?TB11lr?l*t"o;,, Counsel for the Respondent No.3TO7 : The Court made the following: ORDER THE HON'BLE SRI JUSTICE NAGESH BHEEMAPAKA WRIT PETITION No.33361 of 2O2S ORDER: Sri N. Kiran Akash, learned counsel for the petitioner and Sri N. Bhujanga Rao, learned Deputy Solicitor General of India, for respondent No. 1.

2. Despite service of notice, none appeared for remaining respondents I \

3. When the matter is taken up for hearing, learned counsel for petitioner submitted that the issue raised in this Writ Petition is squarely covered by the order passed by this Court in W.P.No.520O of 2024, dated

25.04.2024 and therefore, the same order may be passed in this writ petition as well. The operative portion of the said order reads as under: t / '8. For the aforesaid reasons and as the procedure adopted by the respondent Nos.4 to 7 for recovery of loan amount from the petitioner, amounts to violation of the rights guaranteed under Articles 14 and 21 of the Constitution of India, this Court deems it appropriate to direct the respondents, to ensure that the agents engaged by them for recovery of the loan amounts, shall strictly follow the guidelines and instructions issued by the Reserve Bank of India and also the judgments of the Honble Supreme Court in ICICI Bank Ltd Vs. Prakash Kaur's case (1 supra) and ICICI Bank Vs. Shanti Devi Sharma's case (2 supra). 9. With the above said direction, the writ petition is disposed of."

4. Learned Deputy Solicitor General of India for respondent No.1 has no objection. 2

5. Accordingly, in terms of the order passed by this court in W.P.No.5200 of 2024, dated 25.04.2024, and for the reasons alike, this writ petition is disposed of directing the respondent authorities and their agents to scrupulously follow the guidelines/instructions issued by the Reserve Bank of India in its Circular dated 12.08.2022 and also the judgments of Hon'ble Supreme Court in ICICI Bank Ltd. v. Prakash l(aurrrs case and IcIcI Bank v. shanti Devi sharma'2s case, while recovering the loan amounts from the petitioner. No costs. Pending miscellaneous applications, if any, shall stand closed. I SD/.S. MALLIKARJUNA RAO TANT REGISTRAR I //TRUE COPY/ SECTION OFFICER To,

1. The Secretary, Ministry of Finance, New Delhi 2. Reserve Bank of lndia (RBl) Represent by its Chief General [Vlanager, 6, Sansad Marg, New Delhi - 110001 :

3. The Chief General Manager, Reserve Bank of lndia (RBl), 6, Sansad Marg, New Delhi - 110001

4. One CC to SRI NAKKA KIRAN KASH, Advocate. [OPUC] 5. One CC to SRI N.BHUJANGA RAO, Deputy Solicitor General of lndia, High Court for the State of Telangana at Hyderabad. [OPUC]

6. Two CD Copies. BSK GJP r 12007) 2 sccTrr 2 {2008)7 rECssz 'J1 HIGH COURT DATED:2511112025 ORDER WP.No.33361 of 2025 1 i-l !j Y LJ )- 1E ril mfr DISPOSING OF THE WRIT PETITION WITHOUT COSTS @