J&K and Ladakh High Court Bars Bank From Recovering Loan From Guarantor's Pension

The Jammu and Kashmir and Ladakh High Court has ruled that <b>pensionary benefits</b> of a retired government employee cannot be subjected to coercive recovery measures to repay a loan borrowed by another person, even if the retiree acted as a guarantor. Allowing an appeal by a retired police personnel, Justice Moksha Khajuria Kazmi restrained Jammu and Kashmir Bank from making any deductions from the appellant's pension account. The Court observed that pension is a <b>welfare measure</b> meant to secure financial stability and protect the family from destitution. However, the bank remains free to pursue dues from the principal borrower through legal means.