'Centre has failed Kerala people': HC on Wayanad loan relief
What's the story
The Kerala High Court has slammed the central government for its refusal to waive loans of those affected by the Wayanad landslides. The court said that the Union government had "failed the people of Kerala" and added that the state "does not need the Centre's charity." The criticism came from a Division Bench comprising Justice AK Jayasankaran Nambiar and Justice Jobin Sebastian.
Legal critique
Court calls Centre's stance 'bureaucratic babble'
The court was critical of the Centre's affidavit, which claimed there was no legal provision for waiving loans of disaster-hit persons. "Please tell the Union Government it has failed the people of Kerala," the court told government counsel, calling their stance "bureaucratic babble." The judges said, "It is not about whether the Union can act, but whether they are willing to act."
Funding disparity
Centre sanctioned funds for Assam, Gujarat floods
The court also pointed out that the Centre had sanctioned funds for Assam and Gujarat despite their floods not being classified as severe. The judges said they respected the Constitution and the separation of powers but would not issue directions to the Union government anymore. "We don't need the Union's charity," Justice Nambiar observed while ordering banks to stop loan recovery from affected persons immediately.
Legal proceedings
Banks to be impleaded in the case
The bench said banks would be impleaded and asked to clarify if they planned to waive loans, fully or partially. "Give the names of the banks...we will issue notice to them and implead them. Till such time as they respond, we'll direct stay of...recovery action," it said. The matter will be heard again in two weeks. The high court is hearing a suo motu case initiated after massive landslides struck Wayanad on July 30, 2024, killing dozens and displacing hundreds.