Kerala High Court Admits Plea By Senior Citizens, Other Depositors Seeking Release Of Fixed Deposits From Kandala Service Co-operative Bank

The Kerala High Court on Monday (24 November) admitted a petition filed by a group of sixteen depositors, most of them senior citizens, who have approached the High Court alleging that the Kandala Service Co-operative Bank has failed to release their matured fixed deposits and savings bank amounts despite repeated requests.The Bank was under scrutiny for alleged irregularities pertaining to several crores of rupees and has been raided by the Enforcement Directorate. Justice Gopinath P, admitted the petition, after issuing notice to the respondents. According to the petition, the depositors, many above the age of 60 and suffering from age-related ailments, had invested their life savings in various fixed deposit schemes of the bank. Several deposits have matured, some doubling in value, but the bank has allegedly refused to release the amounts. The petition lists individual amounts deposited by each petitioner, with several having fixed deposits ranging from ₹1.7 lakh to over ₹16 lakh. The depositors claim they had earmarked these funds for medical treatment, repayment of personal loans, and essential living expenses. The non-release of funds has allegedly placed them in a precarious situation.The petition asserts that the inordinate delay constitutes a violation of Article 21 of the Constitution. The petitioners relied on a 2022 judgment of the Kerala High Court in W.P.(C) No. 20088/2022, where the court had directed the timely disbursement of deposit amounts to similarly situated customers of Kandala Service Co-operative Bank. According to the petitioners, that judgment has been applied in several subsequent cases, and they are entitled to similar relief.The petition also alleges that maladministration and corruption at the bank led to intervention by the Directorate of Enforcement (ED), which reportedly recovered assets and money worth crores. The petitioners claim that although such proceeds were transferred to the bank, no steps were taken to settle the dues of depositors.The petitioner has sought for a writ of mandamus directing the Kandala Service Co-operative Bank and its administrative committee to disburse the full amount due to the petitioner within a fixed time frame by the Court. It has further sought to direct the bank to pay interest at 6% from the date of judgment till the payment is made. It has also sought to disburse the dues from the assets recovered and transferred by the Enforcement Directorate. An interim prayer seeks immediate directions to consider the 16th petitioner's representation and to release his deposit amount pending disposal of the writ petition.The matter is posted on 8 December for further consideration. Case Title: Vijayan and Ors. v State of Kerala and Ors. Case No: WP(C) 43801/ 2025Counsel for Petitioners: Nikhil Sankar SCounsel for Respondents: Jayasankar V Nair, R T Pradeep

Kerala High Court Admits Plea By Senior Citizens, Other Depositors Seeking Release Of Fixed Deposits From Kandala Service Co-operative Bank

Anamika MJ

This is a premium content
Available exclusively to
Our subscribers

INR 1099+GST

Tags

Anamika MJ

Kerala High Court Admits Plea By Senior Citizens, Other Depositors Seeking Release Of Fixed Deposits From Kandala Service Co-operative Bank

Anamika MJ

This is a premium content Available exclusively to Our subscribers

INR 1099+GST

Tags

Anamika MJ

This is a premium content
Available exclusively to
Our subscribers