IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 26784 of 2010(W)
1. ELSY PAUL, PALLIPADAN HOUSE,
... Petitioner
2. P.T.PAUL, PALLIPADAN HOUSE,
Vs
1. THE AUTHORISED OFFICER (UNDER
... Respondent
2. THE CHIEF MANAGER,
For Petitioner :SRI.WILSON URMESE
For Respondent : No Appearance
The Hon'ble MR. Justice P.R.RAMACHANDRA MENON
Dated :08/09/2010
O R D E R
C.K.ABDUL REHIM, J
---------------------------
W.P(C) No. 26784 of 2010-W
Dated----------------------------2010.
this the 8th day of September,
J U D G M E N T
Petitioner has approached this Court aggrieved by the coercive
steps initiated under the Securitization and Reconstruction of
Financial Assets and Enforcement of Security Interest Act, 2002
(SARFAESI Act). The petitioner availed a cash credit facility as well as
a term loan from the respondent Bank, with respect to his business
activities. Consequent to default committed in repayments, the
Bank initiated proceedings under the SARFAESI Act and the Chief
Judicial Magistrate Court was approached invoking Section 14(1) of
the Act. Ext.P2 is the notice issued by the Advocate Commissioner
appointed by the Chief Judicial Magistrate Court, requesting the
petitioner to handover possession of the immovable property, which
is a secured asset.
2. Eventhough various contents are raised against the
proceedings, learned counsel for the petitioner submitted that the
petitioner is ready and willing to regularize the loan account by
effecting payment of the outstanding dues, within a reasonable
W.P(C) No. 26784 of 2010-W 2
time. The said proposal was not opposed by the respondent Bank.
3. Under the above circumstances, eventhough interference
on merits on the challenges raised in this writ petition is not at all
possible, I am inclined to show indulgence in permitting to
regularize the loan account.
4. In the result, the writ petition is disposed of directing the
respondents to keep dispossession of the petitioner pursuant to
Ext.P2 notice in abeyance for a period of one month. The petitioner
is permitted to make payment of the entire amount outstanding in
the loan account (overdue amount) within the said period. If such
amounts are remitted the respondent Bank shall regularise the loan
account and permit the petitioner to continue payment as per the
original terms of the loan accounts.
5. Needless to say that on the event of failure on the part of
the petitioner, the respondents will be free to proceed with further
steps, and on any such event the petitioner will be precluded from
raising any challenge against the proceedings.
Sd/-
C.K.ABDUL REHIM
JUDGE
//True Copy//
ab P.A to Judge