HONOURABLE SRI JUSTICE C.V. BHASKAR REDDY WRIT PETITION No.23276 of 2024

ORDER :

This Writ Petition, under Article 226 of the Constitution of India, is filed by the petitioner seeking the following relief:

“.....to issue a writ, order or direction more particularly one in the nature of Writ of Mandamus directing the Respondent No.1 to debit unfreeze and unlien account bearing No.131601510147 with IFSC Code:ICIC0001316 with ICICI Bank Ltd, situated at Branch ICICI Bank Ltd. 4-3-143/A BPR Towers, Attapur, Rajendranagar, Rangareddy District, Telangana 500048, and permit the petitioner to use her bank account freely without any restrictions as part of right to life and personal liberty which is guaranteed under Article 21 of Constitution of India and pass...”

2. Considered the submissions of the learned counsel for the respective parties and perused the record.

3. The case of the petitioner is that respondent No.3- financial institution, which offers a wide range of financial facilities to its customers/prospective borrowers. The petitioner, along with her husband Sri Syed Yousuf and J.M. Enterprises approached respondent No.3, availed loan for expansion of business, situated at Shop No.22, D.No.6-3-

1110, Amrutha mall, Secunderabad, Hyderabad and entered into a loan agreement, dated 19.01.2021, account bearing No.10510001376, which is recourse of earlier account bearing No.10510000607 vide application ID.No.10405016 and as per the loan agreement, respondent No.3 has invoked arbitration clause and appointed respondent No.2 as sole Arbitrator. It is the further case of the petitioner that respondent No.3 has filed a claim statement before respondent No.2 for a sum of Rs.14,85,939/-; pursuant to the same, a notice dated 13.12.2023 has been issued to appear on 23.12.2023 and granted interim order dated 23.12.2023 under Section 17(1) of the Arbitration and Conciliation Act, 1996, directing respondent No.2 for debit freeze and to create lien over her bank account for day-to-day transaction and in compliance with the said order, respondent No.1 has freezed account. It is the further case of the petitioner that she appeared before the learned Arbitrator through her Advocate and on raising objections, the learned Arbitrator by order dated 20.02.2024 terminated the arbitration proceedings and the termination was intimated in Arbitration case No.FFPL/50/2023 to respondent No.1 and requested to debit freeze and unlien bank account, but respondent No.1 has refused to consider the request.

4. This Court vide order, dated 27.08.2024 directed the petitioner to take personal notice to respondent Nos.1 and 3. Even after receipt of the notices, there is no representation on behalf of respondent Nos.1 and 3.

5. Since it is stated that there are disputes pending between the petitioner’s late husband and respondent No.3 and respondent No.3 is not having any right to insist respondent No.1 to freeze or lien the account of the petitioner and respondent No.3 is entitled to recover the said loan amounts from the petitioner by approaching appropriate forum.

6. In view of the same, this Writ Petition is allowed directing respondent No.1 to debit unfreeze and unlien the account of the petitioner bearing No. 131601510147 with IFSC Code: ICIC0001316 with ICICI Bank Limited, within a period of one week (1) from the date of receipt of a copy of this order. No order as to costs.

As a sequel thereto, miscellaneous applications, if any, pending in the writ petition stand closed.

_________________________ C.V. BHASKAR REDDY, J Date: 30.09.2024 pss/sus