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2021 (2) TMI 1331 - HC - Indian LawsValidity of Lookout Circulars (LOC) issued by Bank of Baroda (BOB) and Punjab National Bank (PNB) - prayer to declare the endorsement dated November 14, 2020 by Bureau of Immigration not permitting him to travel to Abu Dhabi, UAE, as illegal - HELD THAT:- No material is produced to show that money lent by BOB and PNB has resulted in any development of this country. On the other hand, as on date, it has become a bad debt and public sector banks are fighting litigations in India as also in UAE to recover the same. It is no doubt true that a citizen of this Country has a right to travel. But I hasten to add that persons who take public money have a sacred duty to repay it too. During the course of hearing, this Court called upon the learned advocates for the Banks to explain on what security the Banks permitted such large exposure. The answer given was, the Companies to which loans are advanced were 'listed companies' in London Stock Exchange and the share value had shown that the said Companies had high net worth. Tangible assets, if any, mortgaged in favour of Banks and their valuation is not forthcoming. If Public Sector Banks are permitting such large exposure without adequate securities, it is a matter of great concern and it shall have serious adverse impact on the economy of this Country. It is time, the law makers and Reserve Bank of India re-visit the lending guidelines and the procedures and take necessary remedial measures to ensure that public money is well secured before disbursement. In view of the liberty available to the petitioner to approach the Bank authorities and explain that LOCs have been wrongly issued, petitioner is not entitled for relief in these writ petitions. Petition dismissed.
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