The court determines the procedure for disbursing matured fixed deposits in instalments while clarifying terms for repayment and interest calculation.

JUDGMENT

Petitioner has approached this Court, being aggrieved by the fact that the amounts due to the petitioner on account of matured fixed deposits maintained by the petitioner with the respondent bank have not been paid, despite request.

2. Learned counsel appearing for the respondent bank submits that only an amount of Rs.8,50,000/- had matured at the time of filing the writ petition. It is submitted that, on account of financial stringency, the respondent bank had undertaken before this Court that the deposits can be returned by paying a sum of Rs.1,00,000/- per month from the month of August-2024. However, the petitioner did not approach the respondent bank and accordingly the amounts could not be released to the petitioner. It is submitted that, if the petitioner approaches the bank within a period of one week from today, the amounts due to the petitioner will be released in instalments by paying a sum of Rs.1,00,000/- (Rupees One lakh only) per month starting from 31.12.2025. It is submitted that Fixed Deposits given as security for chitty transaction cannot be released till the liability is cleared.

3. Having heard the learned counsel appearing for the petitioner and the learned counsel appearing for the respondent bank, the writ petition will stand disposed of directing that if the petitioner were to approach the bank, the amounts in the fixed deposits due to the petitioner shall be disbursed by paying a sum of Rs.1,00,000/- per month. The first instalment shall be paid on or before 31.12.2025. The subsequent instalments shall be paid on or before the last working day of succeeding months. Interest at rates applicable to the Fixed Deposit shall also be paid till today. Thereafter, the interest due to the petitioner shall be calculated on the basis of reducing balance and the amounts shall be repaid to the petitioner together with such interest till the last date of payment. It is made clear that this direction will apply only to such fixed deposits that are not been given as security against any chitty transaction to the petitioner. On each payment being made by the respondent bank as directed above, the petitioner shall execute necessary acknowledgments of having received the amount.

Writ petition is disposed of as above.