With Kerala being economically hit in the wake of the COVID-19 pandemic, the Kerala High Court on Thursday ordered to stay all foreclosure proceedings in the state till April 6. The order came into effect on Thursday.
The order by Justice Amit Rawal states that this will be applicable to revenue recovery procedures by banks and other financial institutions, reports News18 Malayalam.
The details of the court order will be directed to all banks in the state and also various tax departments of the Centre and state government. The court order has come as a relief to the people of the state whose livelihoods have been affected due to the pandemic.
The most severely hit are the daily wage labourers like street-side vendors, taxi/auto-rickshaw drivers and small-scale traders, who make a living through the daily wages. With the state and the central government announcing people to stay indoors as long as possible till the pandemic is over, daily wage labourers are facing a severe financial crisis.
Meanwhile, the High Court has also reportedly set a provision that banks and financial institutions can approach the court asking to set aside the stay if there are serious reasons for the same.
It has also been stated that the High Court will only consider cases related to taxes and bank loans only after April 6.
Reportedly, the court also slammed the staff of the High Court for taking less precaution against COVID-19, despite directions to take stringent measures to prevent the spread of the disease. The court observed that various staff in the High Court and the office of Advocate General office are handling files without even wearing hand gloves, reported Deshabhimani.
The court also observed that people should not crowd the courtrooms as a precaution.
Meanwhile, to tackle the financial crisis of the state, the Left government in Kerala on Thursday announced a Rs 20,000 crore revival package, including free distribution of cereals to all for a month.
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