The Hindu : Tamil Nadu News : Court asks bank to reconsider loan application

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Tamil Nadu

Tamil Nadu

Court asks bank to reconsider loan application

K.T. Sangameswaran

CHENNAI: The Madras High Court has agreed with a polytechnic student’s argument that his poor academic record in school cannot be a valid ground for a bank to reject his request for educational loan.

DME course

In his writ petition, M.Gopinath, a minor of Manapakkam Main Road, Girigori Nagar, represented by his father C. Manoharan, said he passed the SSLC examination in 2007 and was selected for the DME course in Apollo Polytechnic College here for 2008-09.

He applied for educational loan from the State Bank of India’s Nandambakkam branch and produced the necessary documents.

The bank returned the application on the ground that the petitioner had completed the SSLC in three attempts, the allotment itself was wrong and that the loan application had been wrongly filled.

Petitioner’s counsel submitted that the student was willing to submit a fresh allotment order after getting it from the institution in his name and file a fresh application. He argued that the petitioner completing the SSLC in three attempts should not be a bar for granting loan.

In his order, Justice A.Kulasekaran said that as rightly pointed out by counsel, poor academic record could not be a valid ground for rejecting his request for educational loan as the educational institution, which admitted him to the DME course, found him eligible for the course.

Directive to student

The court directed the student to apply for a fresh allotment order in his name. It directed the bank to issue a fresh application form to the petitioner’s father.

The petitioner should submit the application along with the allotment order and other documents. The Judge directed the bank to consider it afresh and pass orders keeping in mind the fact that poor students were to be supported by granting loan.

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