High Court Kerala High Court

Aboobacker A.P vs The Adat Farmers Co-Operative … on 12 April, 2007

Kerala High Court
Aboobacker A.P vs The Adat Farmers Co-Operative … on 12 April, 2007
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C) No. 11840 of 2007(H)


1. ABOOBACKER A.P,S/O.AHMMED HAJI,
                      ...  Petitioner
2. A.V.SIDIQUE,VRINDAVAN,C/O.ADAT,THRISSUR
3. SHYLAJA SIDIQUE,W/O SIDIQUE,
4. VAHIDA MUHAMMED RASIK,VRINDAVAN,
5. M.K.SIDIQUE,VRINDAVAN,C/O.ADAT,
6. JAMEELA SIDIQUE,VRINDAVAN,C/O.ADAT,
7. HAMSA,VRINDAVAN,C/O.ADAT,THRISSUR.

                        Vs



1. THE ADAT FARMERS CO-OPERATIVE BANK
                       ...       Respondent

2. THE ADAT FARMERS CO-OPERATIVE BANK

                For Petitioner  :SRI.K.M.SATHYANATHA MENON

                For Respondent  :SRI.V.G.ARUN

The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR

 Dated :12/04/2007

 O R D E R
                     C.N.RAMACHANDRAN NAIR, J.

                     -----------------------------------

                      WP(C) No. 11840 of 2007 H

                      ---------------------------------

                Dated, this the 12th day of April, 2007


                               J U D G M E N T

Heard the learned counsel for the petitioners and the learned

Standing Counsel appearing for R1 and R2.

2. Even though prayer is for grant of OTS benefit, learned

Standing Counsel submitted that though OTS benefit was granted

to the petitioners in 2004, they did not avail it. Moreover, last date

for settlement under OTS scheme is over on 31/03/2007. The

application submitted by petitioners on 30/03/2007 is stated to be

dismissed. On the face of its, petitioners do not seem to be serious

in settling liability because applications for settlement under OTS

scheme should have been filed within a reasonable time from

commencement of the scheme. In any case, having regard to the

extent of liability and the rate of interest charged, I feel OTS benefit

can still be extended to the petitioners, provided, petitioners

establish their bonafides by remitting reasonable amount along with

fresh application for OTS benefit and offer payment under OTS

scheme with future interest within a reasonable time. WP(C) is

accordingly disposed of directing all the petitioners to remit Rs. 5

W.P.(C)No. 11840/2007

-Page numbers-

lakhs each and file common application for OTS within one month

from today. If payments are made as above, then there will be

direction to the first respondent Bank to grant OTS benefits and

give facility to pay liability under OTS scheme in 10 equal monthly

instalments payable on 10th of every month commencing from June

2007 onwards. If default is committed in payment of any of the

instalments as above, the OTS benefit granted will stand

automatically vacated and Bank will be free to proceed to take over

assets and sell the same under Securitization Act or under any Act

authorising recovery. All the recovery proceedings will be kept in

abeyance till 12/05/2007 and if Rs. 5 lakhs each is paid by each of

the petitioners and common application for OTS benefit is filed, then

recovery will be kept in abeyance for payment under OTS scheme,

which will be communicated by the Bank within two weeks from

receipt of application for OTS benefit along with payment as above.

This WP(C) is disposed of as above.

(C.N.RAMACHANDRAN NAIR, JUDGE)

jg