HC displeased with private banks' recovery methods

Lucknow, July 12 (UNI) Terming the policy of hiring strongmen being hired by the private sector insurance giant ICICI and other finance companies to recover installments as illegal, Lucknow Bench Of the Allahabad High Court today directed them to clarify their stand.

Issuing notices to managers of the ICICI bank Lucknow, branch, the HC directed them to present the company's policy regarding installment recovery on August 6.

A two judge bench comprising Justices Pradeep Kant and Devi Prasad Singh passed the order on a petition filed by Vishal Gupta.

The petitioner alleged that he had got a car financed through ICICI. However, the 'goons' hired by the bank took away the vehicle even when he was ready to pay the pending installments.

The bench observed ''such companies first get vehicles financed through them and later hire strongmen, if the customers fail to pay the installments. Such practice is highly illegal.'' The court fixed August 6 as next hearing date of the case.

UNI