M. Ramachandran, J.

The issue that has been agitated by the petitioner is justifiability and suitability of Ext.P2 and P3 circulars issued by the Reserve Bank of India dated 29.4 2003 and 26.6.2003. The cumulative effect of the above circulars is that Primary Co operative Banks of the country are not to make, provide or renew either secured nor unsecured loans and advances nor extend any other financial accommodation to its directors and their relatives. The term 'financial accommodation' and 'relative' had been defined in the annexure of the order and the relatives include Father, Mother, Son, Son's wife, Daughter, Daughter's husband, Brother, Brother's wife, Sister, Sister's husband etc.

2. The petitioner was having an uninterrupted and well maintained overdraft account with the 2nd respondent Urban Co-operative Bank from 1990 onwards. This was renewed from year to year. The limit was Rs. 1,00,000/- originally, but from 1995 onwards, this has been raised to Rs.2,50,000/-. The direct result of Ext.P2 and P3 was that an application of the petitioner made to the Bank was rejected for the reason that his brother was a member of the Director Board of the Bank. Petitioner fel