Eligibility for benefits under debt relief schemes is contingent upon the status of loan repayment as of the specific cutoff date established by the scheme.

JUDGMENT

The petitioner availed a loan from the second respondent co-operative bank way back in the year 2001. She closed the loan account on 29.2.2008 by remitting the sum of Rs.47,316/-. Six months later she moved the Hon'ble Minister for Co-operation by submitting a representation wherein she sought benefits under the Agricultural Debt Waiver and Debt Relief Scheme, 2008. The Hon'ble Minister forwarded the said representation to the Registrar of Co-operative Societies, who in turn forwarded it to the Joint Registrar of Co-operative Societies, Trivandrum along with Ext.P2 letter dated 4.2.2009. The Joint Registrar of Co- operative Societies, Trivandrum in turn forwarded it to the Assistant Registrar (General), Chirayinkeezhu with instructions to examine the petitioner's complaint. The Assistant Registrar in turn sent Ext.P4 letter dated 10.6.2009 informing the petitioner that as she closed the loan account on 29.2.2008, she is not entitled to benefits under the Agricultural Debt Waiver and Debt Relief Scheme, 2008. In this writ petition the petitioner seeks a declaration that she is entitled to the benefit of loan waiver and an order directing the second respondent bank to refund the sum of Rs.47,316/-.

2. The Agricultural Debt Waiver and Debt Relief Scheme, 2008 was announced by the Union Finance Minister in his budget speech for the year 2008-2009. The petitioner had, before the Scheme was implemented, closed the loan account on 29.2.2008. In terms of paragraph 4 of the Agricultural Debt Waiver and Debt Relief Scheme, 2008 only a person who has availed a short term production loan or an investment loan, which was disbursed up to 31.3.2007, was overdue as on 31.12.2007 and remained unpaid until February 29, 2008 is entitled to the benefit of loan waiver or debt relief. The petitioner closed the loan account on 29.2.2008. As on that day the loan availed by her was not remaining unpaid. Therefore, on the terms of the Scheme she was not entitled to any relief. That apart, as held by a Division Bench of this Court in Cheranalloor Service Co-operative Bank Ltd. v. Alfred, 2010 (1) KLT 749, debt waiver and debt relief schemes are not meant to reopen past transactions and to refund amounts already collected, but to give benefits to defaulters who continue to be defaulters as on the date of introduction of the scheme. The claim made by the petitioner was therefore, rightly rejected ;by the Assistant Registrar of Co-operative Societies.

I accordingly hold that there is no merit in the writ petition.

The writ petition fails and is dismissed.

P.N.RAVINDRAN, Judge.

ahg.

P.N.RAVINDRAN, J.

JUDGMENT

9th February, 2012