Court criticizes Union government’s inaction on loan waivers for those impacted by natural disaster.
The Kerala High Court has ordered a stay on all loan recovery proceedings against individuals affected by the 2024 Wayanad landslide. This decision came during a hearing on Wednesday, as the division bench, consisting of Justices AK Jayasankaran Nambiar and Jobin Sebastian, emphasized the need to prioritize the rights of those impacted by the disaster.
At least 400 individuals lost their lives due to the landslide in the Meppadi area, which was triggered by heavy rainfall. The court expressed disappointment over the Union government’s refusal to consider waiving the bank loans taken by these victims, noting that such a stance undermines fundamental rights.
The bench characterized the government’s position as “unfortunate,” highlighting that it fails to uphold the right to life and dignity as outlined in Article 21 of the Constitution. The justices pointed out that the victims, having lost their lands and means of livelihood in the landslide, are now being compelled to repay loans that were secured against properties that no longer exist.
The court described the expectation for these individuals to repay their loans as an affront to their dignity. The bench further stated that the Union government had a constitutional obligation to act responsibly in protecting the fundamental rights of the victims of this natural disaster.
In their remarks, the justices noted that the government has the authority under Article 73 of the Constitution to extend its powers to matters legislated by Parliament. They expressed their belief that the Union government would recognize its responsibility to the victims, particularly given the severe categorization of the disaster under the 2005 Disaster Management Act.
The bench also referenced a report which indicated that the Union government had approved Rs 707 crore in additional assistance for natural disasters that occurred in Assam and Gujarat in 2024. They pointed out that the relief sought by the Wayanad victims—waiving small agricultural and livelihood loans—constitutes only a fraction of the amount allocated for those states.
In conclusion, the court underscored that party politics should not interfere with the constitutional guarantees of fundamental rights. The interim order to keep loan recovery proceedings in abeyance remains in effect until the petition regarding this matter is resolved, ensuring that the voices of the landslide victims are heard and considered in the face of their plight.
