Kochi, Aug 23 The Kerala High Court on Friday highlighted that banks need to have a compassionate outlook as it held that they should not have deducted loan EMIs from the compensation received in the accounts of survivors of the devastating Wayanad landslides.
A bench of Justices A.K. Jayasankaran Nambiar and Syam Kumar V.M. directed the state's counsel to find out whether such practices are being resorted to by banks.
"No doubt, banks advancing loans can recollect. But when there is money given for a particular purpose to discharge obligations, the bank holds it in trust for beneficiaries. It cannot appropriate it for other uses of the bank. Second, the bank has a fundamental duty to show compassion in situations like this. It is a fundamental duty for crying out loud! Please find out whether any such thing has happened like this in the state. If it is happening, we will intervene," the bench said.
"Ultimately, we are missing out on the humanitarian aspect of the whole thing. In the first week, everyone will cry and in the next week, they do things like this," it remarked.
The court also directed the state to ensure that the compensation amounts given reach the intended beneficiaries.
"Please ensure that whatever amount is given (as compensation or relief) is actually received. These people can't be expected to come to court," it said.
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