Union govt has failed Kerala, we don't need your charity: High Court on refusal to waive loans for Wayanad disaster victims

The Kerala High Court on Wednesday expressed deep disappointment with the Central government's refusal to waive loans of persons affected by Wayanad landslides of 2024.

A Division Bench of Justice AK Jayasankaran Nambiar and Justice Jobin Sebastian went to the extent of saying that the Central government has failed the people of Kerala and that the State can do without the Centre's charity.

"Please tell the Union Government it has failed the people of Kerala. We had made it very clear that it is not a situation where the union is powerless to act. By this affidavit, you've clearly shown again, that you are hiding behind this power argument, you're saying that you are powerless to act. Why is that being done?" the Court told the government lawyer.

The Bench was referring to the Central government's argument that there is no legal provision for waiver of bank loans for persons affected by natural disasters.

The Court said that this stance by the Central government was nothing but "bureaucratic babble".

"This is just bureaucratic babble. It is not about whether the Union can act, but whether they are willing to act. If you are unwilling to act, have the courage to say it. Who are you trying to fool?" the Bench asked the Union government's lawyer.

The Court also asked the counsel to openly say that the Central government was unwilling to help the people, instead of hiding behind legal technicalities.

"Please tell your government, that these kind of tactics are not going to carry the day. If they have the courage, let them say that they are not willing to help. But at least the people should know that when it comes to moments like these, the Union government has failed the people," Justice Nambiar said.

The Bench was hearing a suo motu case initiated by it to monitor rehabilitation efforts in Wayanad.

The Court today went to the extent of reading newspaper reports which provided details of large amounts sanctioned by the Central government for Assam and Gujarat for 2024 floods.

Those disasters weren’t even categorised as severe, the Court noted.

The Bench said that the State of Kerala does not need Union government's charity and that the Court respects the Constitution and considers itself as an integral part of the Union of India.

Hence, it will not issue any further directions to the Central government, the Bench said not mincing its words.

"We know how to carry on a function. Enough is enough. We don't need the Union's charity. Our sense of constitutional morality requires us to respect and regard the principle of separation of powers and therefore, we will not issue directions to the Union government. That is because of our magnanimity and as a body, an integral part of the State, which respects the Constitution," Justice Nambiar remarked.

The Court then proceeded to order banks to immediately stop loan recovery action with respect to persons affected by the Wayanad disaster.

"Those banks, we will make parties here, we will implead those banks. Give the names of the banks and their addresses we will issue notice to them and implead them. Till such time as they respond, we'll direct stay of all the recovery action. The recovery action will stay, at least for time being because it can't happen like this. We'll give them an opportunity to seek a modification of this interim order, after filing a counter affidavit where they will say whether or not they will waive the loans or not, either partially or entirely. Let them give reasons as to why they're insisting on this despite this calamitous situation. As part of citizens, you must also understand what is happening in your neighbourhood," the Court said.

The matter will be heard again after two weeks.

[Read Live Coverage]