Kumaresan vs Vilananchathanoor Service … on 14 August, 2007

       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C) No. 17074 of 2007(G)


1. KUMARESAN, S/O.ARUMUGHAN PILLAI,
                      ...  Petitioner

                        Vs



1. VILANANCHATHANOOR SERVICE CO-OPERATIVE
                       ...       Respondent

2. THE SPECIAL SALE OFFICER,

3. THE ASSISTANT REGISTRAR (GENERAL),

                For Petitioner  :SRI.V.V.ASOKAN

                For Respondent  :SRI.N.RAGHURAJ

The Hon'ble MR. Justice K.M.JOSEPH

 Dated :14/08/2007

 O R D E R
                         K.M.JOSEPH, J.
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             W.P.(C).No. 17074 OF 2007
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                Dated this the 14th day of August, 2007


                             JUDGMENT

Petitioner availed a loan which is not repaid. An award was

passed. Petitioner challenges the consequential demand notice

issued by the second respondent. Petitioner seeks a direction to

the second respondent to give reasonable time to pay off the

debt and to extend the benefits provided to the debtor as per

Ext.P3 circular.

2. I heard learned counsel for the petitioner and the

learned counsel for the Bank.

3. Learned counsel for Bank points out that the petitioner

is not entitled to the benefit of Ext.P3 circular as prohibition in

Ext.P3 is against the charge of rate higher than 100 % of the

principal amount and in this case interest demanded is not in

excess of double the amount and therefore the petitioner is not

entitled to the benefit of the the circular.

4. Learned counsel for the petitioner submits that

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petitioner may be permitted to pay off the entire amount in easy

instalments.

Having regard to all facts, the writ petition is disposed of

permitting the petitioner to pay off the entire amount remaining

to be paid with due interest in 7 equal monthly instalments, the

first of which shall be payable on or before 15/09/2007.

Petitioner has to pay the remaining instalments on or before the

15th of every succeeding months. The first respondent will serve

a statement on the petitioner showing the amount payable by the

petitioner with interest and also the amount of instalment

payable on the basis that the amount is to be paid in 7 equal

monthly instalments, within two weeks from today. If the

petitioner does not pay any of the instalments as aforesaid,

petitioner will lose the benefit of this judgment and it is open to

the respondent-Bank to proceed against the petitioner in

accordance with law.

(K.M.JOSEPH, JUDGE)

sv.

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