9911796707
TMI Blog2003 (10) TMI 396X X X X Extracts X X X X X X X X Extracts X X X X ..... inary General Meeting. The Bank was apparently not informed of the proposed change. Bona fides of the action being suspected by the Bank, the bank called for additional security and also for furnishing a fresh bank guarantee to secure its loan and it was in that situation, thereafter petitioner has come to this Court, essentially complaining that if the banking transactions are abruptly stopped by the bank, the petitioner will suffer and that would benefit neither of the parties. 3. On the petitioner assuring that immediately after the Durga Puja, it will elect the Managing Director or appoint the Managing Director and the Managing Director as well as the members of his family would provide their personal guarantees, we were persuaded ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t has a limited role when a nationalized bank, like the respondent herein, deprives a customer of banking services, which it was entitled to enjoy in the normal course. Counsel submitted that a similar direction as the one contained therein, can be made, clarifying that no credit facility will be provided to the petitioner, unless and until the petitioner is able to satisfy the bank of its ability to carry on its business as it was doing earlier and is in a position to provide adequate guarantees to the satisfaction of the Bank. Meanwhile, the petitioner may be permitted to open a current account so that it could deposit the cheques and other negotiable instruments received by it and withdraw the said amounts, so as to carry on the day-to-d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The argument that the petitioner is entitled to enjoy the banking services that are offered by the respondent Bank, in our view, cannot certainly entitle the petitioner to claim that a credit facility must be continued and extended to the petitioner, even if the Bank, as a prudent banker, was not satisfied that the said facilities should be continued or that it would be unsafe to continue the making available of such facility. 9. Of course, in an appropriate case, we may, by drawing inspiration from the decision of Supreme Court, direct that a current account may be permitted to be opened by the customer in the bank and transactions carried on through it with no obligation on the Bank, to continue the credit facility being made availa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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