High Court Kerala High Court

Chinnamma Kuriakose vs Kerala State Financial … on 23 October, 2007

Kerala High Court
Chinnamma Kuriakose vs Kerala State Financial … on 23 October, 2007
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WA No. 2304 of 2007()


1. CHINNAMMA KURIAKOSE,
                      ...  Petitioner
2. BABU P.KURIAKOSE,

                        Vs



1. KERALA STATE FINANCIAL CORPORATION,
                       ...       Respondent

2. THE BRANCH MANAGER,

3. P.C.BAIJU,

4. P.C.RAJEEV,

5. NALINI CHANDRAN,

                For Petitioner  :SRI.THAMPAN THOMAS

                For Respondent  :SRI.JACOB CHACKO

The Hon'ble the Chief Justice MR.H.L.DATTU
The Hon'ble MR. Justice K.T.SANKARAN

 Dated :23/10/2007

 O R D E R
                        H.L. DATTU, C.J. & K.T. SANKARAN, J.
              ...................................................................................
                                 W.A. No. 2304 of 2007
               ...................................................................................
                            Dated this the 23rd October, 2007


                                          J U D G M E N T

H.L. Dattu, C.J.:

This appeal arises out of the order passed by the learned single Judge

in W.P.(C) No. 23612 of 2007 dated 2nd August, 2007.

2. Though the matter is listed in the admission list, by consent of the

learned counsel for the parties to the lis, the matter is taken up for final

hearing.

3. Petitioners in the Writ Petition are the legal representatives of the

surety in respect of a loan granted to the father of respondent Nos. 3 to 5 and

respondent Nos. 3 to 5 have defaulted in repaying the loan amount due to the

first respondent-Kerala State Financial Corporation (‘Corporation’ for short).

For realisation of the debt due to the first respondent-Corporation, it has

proceeded against the sureties, viz., the petitioners and also against the

principal borrower. The petitioners had approached this court, inter alia

questioning the action of the Corporation. This Court, by its order dated 2nd

August, 2007 was pleased to dispose of the Writ Petition with a direction to

the petitioners to make an appropriate application for One Time Settlement

for re-paying the loan amount borrowed by the father of respondent Nos. 3

to 5. The learned single Judge has further observed that till the application, if

it is filed within the time granted by this court, is considered by the first

W.A. No. 2304 OF 2007

2

respondent-Corporation by one way or other, all recovery proceedings against

the petitioners shall be kept in abeyance. Aggrieved by the aforesaid orders

passed by the learned single Judge, the petitioners in the Writ Petition are

before us in this Writ Appeal.

4. Respondent Nos. 3 to 5 who are legal representatives of the

principal borrower are represented by their counsel. On instruction, the

learned counsel, would submit that respondent Nos. 3 to 5 would now make an

application before the first respondent-Corporation for payment of the entire

amount due to the first respondent- Corporation under One Time Settlement

scheme and therefore, the learned counsel requests us to modify the orders

passed by the learned single Judge and allow the respondent Nos. 3 to 5 to

make an appropriate application for One Time Settlement before the first

respondent-Corporation.

5. The request of the learned counsel for respondent Nos.3 to 5, it

appears to us, is reasonable. Therefore, we intend to modify the orders

passed by the learned single Judge, as under:

O R D E R

i) Writ Appeal is disposed of.

ii) Respondent Nos. 3 to 5 who are legal representatives of the

principal borrower would make an appropriate application as envisaged under

One Time Settlement Scheme before the first respondent-Corporation, within a

period of one month from today. If such an application is filed within the time

W.A. No. 2304 OF 2007

3

granted by this Court, the first respondent-Corporation would consider the

same in accordance with the Scheme and in accordance with law.

iii) Till such time, as aforesaid, the first respondent- Corporation

shall not proceed either against respondent Nos. 3 to 5 or against the

petitioners/legal representatives of the surety.

iv) With the above observations and directions, the Writ Appeal is

disposed of.

Ordered accordingly.

H.L. DATTU,
CHIEF JUSTICE.

K.T. SANKARAN,
JUDGE.

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