2026:APHC:13988 APHC010277302021 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI [3327]

(Special Original Jurisdiction)

THURSDAY,THE NINETEENTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE K SREENIVASA REDDY WRIT PETITION NO.16356 OF 2021 Between:

T. Harindranath Sarma ...PETITIONER AND Saptagiri Grameena Bank and another ...RESPONDENTS Counsel for the Petitioner:

1. U D JAI BHIMA RAO Counsel for the Respondents:

1. SATYANARAYANA DHARA The Court made the following ORDER:

This Writ Petition has been filed seeking to declare the proceedings issued by 2^nd respondent Bank dated 23.02.2021, declining to release the documents, more particularly the Title Deed, vide document No.1553 of 2001 pertaining to the property of the petitioner existing in Plot No.8 (Part), situated in Survey No.391-1D, 3^rd Ward, Lakshminagar Colony, Near Gangamma Temple, B.K. Palle village, Madanapalle, on the basis of ongoing CBI enquiry and subject to its finalization which is totally unconnected with availing housing loan by the petitioner under Staff Housing Loan Scheme and to declare the non-release of the documents in spite of complete discharge of the loan and after full and final settlement of the loan as illegal and arbitrary and consequently direct the respondents to release the documents.

2. Case of the petitioner, in brief, is that he is an ex-employee of the respondent Bank. He purchased a plot at Madanapalle, Chittoor district, vide Title Deed bearing document No.1553 of 2001. Later, based on his application, the respondent Bank sanctioned Housing Loan of Rs.4.00 Lakhs to him on 28.01.2002 under Staff Housing Scheme, which has to be repaid within a period of 180 months i.e. 15 years. Accordingly, the petitioner repaid the entire loan amount as per schedule and the loan account of the petitioner was closed on 01.08.2018. On such closure of loan account, petitioner addressed a letter dated 06.01.2021 requesting 2^nd respondent Bank to release the documents and title deeds mortgaged to the Bank. On that, 2^nd respondent Bank, vide impugned proceedings dated 23.02.2021, intimated the petitioner that they have been communicated by their Head Office, Chittor, vide letter dated 03.02.2021, that they are unable to permit release of the documents in view of ongoing CBI enquiry and its non-finalization. Hence, he filed the present Writ Petition seeking to direct the respondents to release the document pertaining to his property i.e. Title Deed vide document No.1553/2001, by declaring the impugned proceedings of 2^nd respondent dated 23.02.2021 as illegal and arbitrary.

3. A counter affidavit has been filed by the respondents stating, inter alia, that the petitioner committed irregularities while he was working as Chief Manager of 2^nd respondent Bank, Punganuru Branch in respect of sanctioning of loans without following the norms and made the Bank to incur a loss of Rs.7.3 Crores and also indiscriminate lending under MDL Powers by sanctioning multiple facilities amounting to Rs.9,20,70,000/- to a single family/relative/workers of Mr. R. Royal Kumar, partner of M/s. Sri Balaji Cold Storage, Punganuru without proper assessment/repaying capacity etc. In connection with that, CBI, Chennai registered a case in FIR No.RC.O.01/E/2018, CBI, EOWCHN dated 27.02.2018, for the offences punishable under Section 120-B read with 420 IPC and under Section 13(2) read with 13(1)(d) of the PC Act, 1998 against the petitioner herein and others. In view of the FIR registered by the CBI, Chennai and also the enquiry report under disciplinary proceedings of 1^st respondent, the title deeds pertaining to the petitioner cannot be parted and delivered to the petitioner till the CBI enquiry is completed.

4. Learned counsel for the petitioner submits that the case said to have been registered by the CBI does not pertain to the loan account of the petitioner and when the petitioner cleared the entire loan amount in the year 2018 itself, there is an obligation on