IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 26272 of 2009(D)
1. ANIL P AUGUSTINE, S/O.AUGUSTINE,
... Petitioner
Vs
1. STATE BANK OF TRAVANCORE,
... Respondent
2. T & V TRADERS, VITHAYATHIL BUILDING,
3. TONY THOMAS, S/O.V.V.THOMAS,
4. SUNNY T.S., S/O.T.P.SEBASTIAN,
5. RECOVERY OFFICER,
For Petitioner :SRI.K.M.KURIAN
For Respondent :SRI.SATHISH NINAN
The Hon'ble MR. Justice C.K.ABDUL REHIM
Dated :12/10/2009
O R D E R
C.K.ABDUL REHIM,J.
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WP(C).No. 26272 of 2009
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Dated this the 12th day of October, 2009.
JUDGMENT
Petitioner is the guarantor for a credit facility availed by the
2nd respondent firm from the first respondent Bank. Immovable
property belonging to the petitioner was mortgaged as security
for the loan transaction. Since the borrowers had defaulted
repayment, the first respondent Bank filed OA.No.265/2007
before the Debt Recovery Tribunal. Ext.P2 is the order issued by
the Tribunal permitting the Bank to realise a sum of
Rs.15,99,504/- along with interest at 12.5% p.a. from
16.10.2006 onwards till the date of the order and thereafter with
future interest @ 12% till realisation. Now the 5th respondent
Recovery Officer had initiated steps for execution and property
belonging to the petitioner is proclaimed for sale, as evidenced
by Ext.P3.
2. According to the petitioner, the borrowers have paid an
amount of Rs.8.5 lakhs towards the loan account pursuant to
Ext.P2 order. It is further stated that the 4th respondent who is
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one among the borrowers had filed a petition as
I.A.No.217/2008 before the DRT to enable him to pay the debt
amount in instalments. Under such circumstances the petitioner
is seeking directions against the proceedings of sale of immovable
properties proposed, till the DRT takes a final decision on the
above said IA.
3. This court by virtue of an interim order dated 17.9.2009
had stayed the proposed sale scheduled as per Ext.P3, on
condition of the petitioner depositing an amount of Rs.3 lakhs. It
is reported that the amount has already been deposited before
the DRT.
4. Heard learned Standing Counsel appearing for the first
respondent Bank. It is pointed out that the balance outstanding
as on 3.8.2009 was Rs.12,62,700.56. After crediting the amount
of Rs.3 lakhs now paid, the balance will come around Rs.10 lakhs.
It is also stated that I.A.No.217/2008 filed by the 4th respondent
before the Tribunal stands already dismissed. It is also
contended that the 4th respondent had in fact approached this
court and this court was pleased to grant time for payment,
inspite no amount was paid by the borrowers.
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5. Having confronted with the above situation, learned
counsel appearing for the petitioner submitted that considerable
amounts has already been paid, and the petitioner is ready and
willing to pay off the balance outstanding, provided permission is
granted to pay off the same in instalments within a reasonable
time.
6. After hearing contentions on both sides and on
considering facts and circumstances of the case, I am of the
opinion that some indulgence can be shown in the matter in
permitting the petitioner to pay off the entire balance in
instalments.
7. Accordingly, the writ petition is disposed of directing the
petitioner to make payment of the balance amount due under
Ext.P2 order of the DRT in 4 equal monthly instalments starting
from 30.11.2009 and on or before the last day of the succeeding
months. It is made clear that the amount of Rs.3 lakhs already
deposited by the petitioner before the DRT shall be released to
the first respondent Bank. The payment as directed above shall
be effected by the petitioner directly to the first respondent Bank
and proof in this regard shall be produced before the 5th
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respondent Recovery Officer. The 5th respondent is directed to
keep in abeyance further proceedings pursuant to Ext.P3 notice .
8. It is made clear that on the event of default in payment
of any of the instalments the 5th respondent will be free to
proceed with further steps for sale, pursuant to Ext.P3 notice, and
on such event the petitioner will be precluded from raising any
further challenge against the proceedings either before this court
or before any other forum.
C.K.ABDUL REHIM, JUDGE
Pmn/
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