IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dated: 03/03/2006
Coram
The Hon'ble Mr. Justice P.SATHASIVAM
Writ Petition No.2977 of 2004
and
W.P.M.P. Nos.3487 & 3488 of 2004
K.Kandasamy ... Petitioner
-Vs-
The Tamilnadu Industrial Investment
Corporation Ltd.,
rep. by its Branch Manager,
33, Senguptha Singuthapuram,
5th Cross, Karur-639 002. ... Respondent
Petition under Article 226 of the Constitution of India for the
issuance of a Writ of Certiorarified Mandamus to call for the records of the
respondent's impugned order dated 29.01.2004 made in TIIC/KRR/BO/ LAA/2003-04,
quash the same and consequently reschedule the outstanding loan in terms of
the representation of the petitioner dated 06.02.2 004.
!For Petitioner : Mrs.G.Thilakavathi
^For Respondent : Mr.Kalyanaraman for
M/s.Aiyer & Dolia.
:O R D E R
The petitioner by name K.Kandasamy, aged about 75 years, approached
this Court for quashing the order of the respondent dated 29.01.2004 made in
TIIC/KRR/BO/LAA/2003-04.
2. Heard learned counsel for the petitioner as well as the
respondent.
3. In view of the order to be passed here-under, I am of the view
that it is unnecessary to refer the factual details as stated by the
petitioner in his affidavit and by the respondent in his counter affidavit.
4. As per the proceedings dated 31.08.2005 of the respondent/
Corporation, the amount required to be paid by the petitioner is as follows:-
Principal - Rs.3,58,000.00
Other dues (31.8.05) - Rs. 5,450.00
-----------------
Total Amount - Rs.3,63,450.00
-----------------
It is further seen that the petitioner opted to avail OTS (One Time
Settlement) Scheme, for which, he was asked to pay 20% of the OTS amount, that
too, on or before 30.11.2005. The balance OTS amount was required to be paid
in monthly instalments on or before 31.03.2006 with interest on the balance
OTS amount at 11% from 01.12.2005 till the date of settlement of account.
As per the above statement, 20% of Rs.3,63,450/-, which works out to
Rs.73,000/-, was paid on 31.11.2005. A balance of Rs.2,90,450/- was required
to be paid on or before 31.3.2006 with 11% interest. According to the
petitioner, because of financial constraints and of his old age, he is not in
a position to pay the entire balance amount on or before 31.3.2006 as
directed, however, he gives an undertaking that he will pay Rs.50,000/- on or
before 31.03.2006 and that the balance sum of Rs.2,40,450/- will be repaid
with interest at 11% in three equal instalments. Learned counsel appearing
for the respondent submits that having availed the concession under the OTS,
the petitioner is expected to pay the balance amount on or before 31.03.2006
and there is no provision for extension as per the scheme applied to the
petitioner.
5. It is not in dispute that as per the terms of the OTS, the
petitioner paid 20% of the total amount, viz., Rs.73,000/-, even on 31.11.2
005. The balance comes to Rs.2,90,450/- and, as per the terms, the said sum
has to be paid before 31.03.2006 with 11% interest. The petitioner is willing
to pay Rs.50,000/- before 31.03.2006. As far as the balance amount of
Rs.2,40,450/- is concerned, he seeks further indulgence for payment of the
same with 11% interest thereon in three equal instalments.
6. Taking note of the grievance expressed and of the fact that the
petitioner is a senior citizen, aged about 75 years, and also considering the
fact that in terms of the OTS, he repaid 20% of the OTS amount even on
31.11.2005, this Court is inclined to accept the request of the petitioner.
Accordingly, the following direction is issued:
(a) The undertaking given by the petitioner for payment of Rs.50,000
/- on or before 31.3.2006 is hereby recorded and he shall make the payment, as
per the undertaking, without default.
(b) The petitioner is permitted to pay the balance sum of Rs.2,40,45
0/- with interest at the rate of 11% as per the order dated 31.8.2005 in three
equal monthly instalments. The amount due for the first instalment shall be
paid on or before 03.05.2006; second instalment on or before 03.06.2006 and
the third instalment on or before 03.07.2006.
(c) It is made clear that in the case of failure on the part of the
petitioner to comply with any one of the conditions mentioned above, the
respondent/Corporation is free to recover the amount in terms of the
agreement.
7. Writ Petition is disposed of on the above terms. Connected
Miscellaneous Petitions are closed.
JI.
To
The Branch Manager,Tamilnadu Industrial Investment
Corporation Ltd., 33, Senguptha Singuthapuram,
5th Cross, Karur-639 002.