The Delhi High Court on Monday sought the response of the Centre on a plea which challenged the provisions in the civil law prohibiting the arrest or detention of women due to the non-payment of bank loans.
A bench of Acting Chief Justice Gita Mittal and Justice C Hari Shankar issued a notice to the Law Ministry and the Law Commission of India directing them to file their reply before the next date of hearing.
The court’s direction came on a PIL filed by one, Anil Kumar which sought the quashing of Section 56 of the Code of Civil Procedure (prohibits arrest of detention of women in the execution of the decree for the payment of money).
The plea sought that the said provision violates Article 14 (equality before law) and 15 (prohibition of discrimination on grounds of religion, race, caste, sex or place of birth) of the Indian Constitution. It demanded that the provision be declared ultra vires.
The petition also contended that it has become a fashion “that people, by taking advantage of Section 56 of the Code of Civil Procedure, are intentionally cheating and causing wrongful loss to the banks and NBFCs (non-banking financial companies) by not replaying vehicles, property or personal loans”.
The plea also claimed that the male members of the family make the women as the co-borrower or guarantor and misuse the financial facilities.
“Women have been taking loans in personal capacity and for the recovery of money, banks and NBFCs have to spend a lot of money in filing the civil proceedings against the defaulters…
“These women are taking an undue advantage of Section 56 due to its discrimination. Women defaulters are well aware that they are protected by section 56 and no recovery of money could be effected without fear of arrest or detention,” the plea alleged.
Kumar has been working in the non-banking finance sector and has been providing loans for the last 15 years for various purposes like vehicle loans, property loans and personal loans.
The plea contended that Section 56 of the CPC was included when women were confined to the four walls of the house and hence it has become obsolete and against the public policy considering the present scenario where females have been regularly raising several kinds of loans.