High Court Kerala High Court

Bruce Babu vs The Chief Manager on 19 November, 2010

Kerala High Court
Bruce Babu vs The Chief Manager on 19 November, 2010
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 30136 of 2010(N)


1. BRUCE BABU, AZHEEKKAL HOUSE,
                      ...  Petitioner

                        Vs



1. THE CHIEF MANAGER,
                       ...       Respondent

2. THE BRANCH MANAGER,

                For Petitioner  :SRI.P.S.GEORGE

                For Respondent  :SRI.R.S.KALKURA

The Hon'ble MR. Justice C.K.ABDUL REHIM

 Dated :19/11/2010

 O R D E R
                 C.K. ABDUL REHIM, J
                -------------------------------
               WP(C) NO. 30136 OF 2010
              -------------------------------------
       Dated this the 19th day of November, 2010


                        JUDGMENT

Proceedings initiated under the Securitisation and

Reconstruction of Financial Assets and Enforcement of

Security Interest Act, 2002 (SARFAESI Act) is under

challenge in this Writ Petition. Consequent to default

committed by the petitioner in repayment of loan availed

from the respondent Bank, the immovable property which

is the secured asset was proceeded against. Invoking

provisions contained under Section 14 (1), the respondent

had approached the Chief Judicial Magistrate Court and

an Advocate Commissioner was appointed to take over

possession of the property.

2. According to the petitioner, he had approached

the Bank expressing willingness to close the loan account

within a period of six months. But coercive steps were

proceeded without accepting such request. Hence the

Writ Petition is filed seeking interference by this Court.

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3. As a gesture of indulgence this Court granted an

interim stay against dispossession, subject to condition of

the petitioner remitting a sum of Rs.3 lakhs within one

month from 30.09.2010. Subsequently the petitioner filed

an interlocutory application seeking extension of time for

compliance of the stipulations. Time for payment was

extended till 18.11.2010. It is submitted that the petitioner

has not complied with the conditions stipulated, till date.

4. Taking note of the decision of the Hon’ble

Supreme Court in United Bank of India Vs. Satyawati

Tondon and others [2010 (8) SCC 110]. It is not proper

on the part of this Court to stay the proceedings initiated

under the SARFAESI Act in a writ petition filed, without

invoking the statutory remedy available under Section 17

(1). Therefore I am not inclined to entertain this Writ

Petition, any further. However rights if any available to the

petitioner to invoke the statutory remedy can be left open.

4. Therefore the Writ Petition is dismissed without

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prejudice to rights if any available to the petitioner to

invoke the statutory remedy before the appropriate

authority.

C.K. ABDUL REHIM
JUDGE
dnc