IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE T.R.RAMACHANDRAN NAIR THURSDAY, THE 4TH MARCH 2010 / 13TH PHALGUNA 1931 WP(C).No. 2423 of 2007(L) ------------------------- PETITIONER : -------------------- THE KAVALANGAD SERVICE CO-OPERATIVE BANK LIMITED NO.1348, NELLIMATTOM P.O., KOTHAMANGALAM, REPRESENTED BY ITS SECRETARY. BY ADVS. MR.K.K.CHANDRAN PILLAI MR.R.V.SATHYAPRIYAN NAIR RESPONDENTS : ----------------------- 1. THE TREASURY OFFICER, DISTRICT TREASURY OFFICE, ERNAKULAM. 2. STATE OF KERALA, REPRESENTED BY THE CHIEF SECRETARY, GOVERNMENT SECRETARIAT, THIRUVANANTHAPURAM-1. R1 & R2 BY GOVERNMENT PLEADER MR.M.A.FAYAZ THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04/03/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: JVT T. R. RAMACHANDRAN NAIR, J ------------------------------------------ W.P.(C.) No. 2423 of 2007 --------------------------------- Dated this the 04th day of March 2010 J U D G M E N T The petitioner herein is a service co-operative bank who had deposited an amount of Rs.55 lakhs as fixed deposit in the District Treasury, Ernakulam as per Treasury Small Savings Fixed Deposit Certificate Scheme. The total maturity value of the deposit is Rs.1,04,45,000/-. Of this, excepting Rs.10,44,500/- the amount was payable on 29.11.2006 and Rs.10,44,500/- was payable on 16.12.2006. Aggrieved by delay in the matter this writ petition was filed seeking for a direction to release the entire maturity value with interest at 10% from the date of maturity till payment. 2. In the counter affidavit filed by the Treasury Officer, it is pointed out that the deposit was made under the Fixed Deposit Scheme and for releasing the maturity W.P.(C) No.2423 of 2007 -2- value Government sanction was required. The Government issued direction as per the order No. G.O(Rt) 1045/07/Fin dated : 09.02.2007 for closing the TSFDC and releasing the amount to the depositors. Accordingly the amounts were paid on 22.02.2007. 3. The learned Counsel for the petitioner pressed for the grant of interest also since the actual maturity amount was due on 29.11.2006 and 16.12.2006 respectively. It is pointed out that the petitioner is a co-operative bank. Therefore the amount could have been utilised by the bank for other purposes including grant of loans to borrowers and therefore the delayed payment has caused loss to the bank also. It is submitted that the delay in disbursing the amount was only due to want of sanction by the Government for which the bank cannot be put to hardship. 4. If the petitioner files an appropriate representation before the Government seeking for grant of W.P.(C) No.2423 of 2007 -3- reasonable interest the same will be considered and appropriate orders will be passed within a period of three months from the receipt of copy of this judgment. This writ petition is disposed of as above. No costs. T. R. RAMACHANDRAN NAIR, JUDGE Jvt