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Home » News » National
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Supreme Court Grants Relief to Widow in Loan Settlement Case

Indian Community Editorial TeamBy Indian Community Editorial TeamJanuary 27, 20262 Mins ReadNo Comments Add us to Google Preferred Sources
Supreme Court Grants Relief to Widow in Loan Settlement Case
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In a rare move under Article 142 of the Constitution, the Supreme Court has provided relief to a widow who lost her husband to Covid-19 during the second wave. The court allowed her to settle a bank loan on easier terms and instructed the Central Bank of India to release her property deeds upon payment of a reduced sum.

The widow, Sumaiya Parveen, had contested the Madras High Court’s decision to not revive a one-time settlement offer for a loan taken by her deceased husband. The Supreme Court, led by Chief Justice of India Surya Kant and Justice Joymalya Bagchi, approved her special leave petitions considering the unique circumstances of the case.

The deceased husband, a businessman, had mortgaged their residential property to secure a loan from the Central Bank of India. After his demise in May 2021, the loan account turned non-performing, leading to legal actions by the bank. Despite initial partial payment by the widow, she struggled to meet the revised demands, resulting in possession notices.

The apex court, acknowledging the legal validity of the bank’s demands, emphasized the undue hardship it would impose on the widow. To address the situation fairly, the court directed the widow to deposit an additional sum within a specified timeframe to settle the matter and obtain the necessary documents.

Article 142 Central Bank of India Constitution COVID-19 FILSA Leathers Joymalya Bagchi Madras High Court NPA SARFAESI Act Supreme Court Surya Kant
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Indian Community Editorial Team

The Indian Community Editorial Team curates, verifies, and publishes stories that matter to Indians worldwide. From culture and community to business and innovation, our mission is to spotlight voices, ideas, and events that bring our global community closer together. Have news or a story to share? Submit it to us at [email protected].

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