IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 30356 of 2009(L)
1. KOLIKKAL GRANITE INDUSTRIES,
... Petitioner
Vs
1. THE BRANCH MANAGER,
... Respondent
2. AUTHORIZED OFFICER,
3. THE DEPUTY GENERAL MANAGER,
For Petitioner :SRI.T.V.GEORGE
For Respondent :SRI.P.GOPINATH MENON, SC, CANARA BANK
The Hon'ble MR. Justice P.R.RAMACHANDRA MENON
Dated :18/02/2010
O R D E R
P.R RAMACHANDRA MENON, J.
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W.P (C) No.30356 of 2009
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Dated this the 18th February, 2010
J U D G M E N T
The petitioner has approached this Court mainly
seeking for issuance of a writ of mandamus to direct the
3rd respondent to consider and pass appropriate orders on
Ext.P3 representation requesting for the benefit of One
Time Settlement Scheme, within a specified time.
2. Respondents 1 to 3 have filed a statement
dated 4.11.2009 stating that even though the Bank was
prepared to extend the benefit to the permissible limit, the
amount offered by the petitioner was very low and not
acceptable to the Bank. It is stated that the respondents
had instructed the petitioner to improve their offer as per
Annexure-1 letter dated 5.10.2009, but no competitive
proposal has been submitted from the part of the
petitioner. It is also stated that the outstanding liability as
on the date of statement was around Rs.48 lakhs.
3. Pursuant to the interim order passed by this
Court, a total sum of Rs.7 lakhs has already been paid by
the petitioner, submits the learned counsel. This Court
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also directed the Bank to file an additional affidavit as to the
actual facts and figures, pursuant to which, the affidavit
dated 17.2.2010 has been filed, also producing Annexure R2
(a) letter dated 19.01.2010 issued by the Bank to the
petitioner. With reference to the contents of the said
affidavit, the learned counsel for the respondent Bank
submits that the amount of Rs.7 lakhs already paid by the
petitioner has been duly credited and the balance amount
was nearly Rs.45.02 lakhs. It is also stated in paragraph 4 of
the said affidavit that the Bank is ready and willing to settle
the accounts on accepting a sum of Rs.42.19 lakhs in full and
final settlement of the loan accounts.
4. The learned counsel for the petitioner submits that
the offer now made by the Bank is not in confirmity with the
actual outstanding. But this Court does not find any force in
the said submission and no writ of mandamus can be issued
with regard to the vested rights and interests of the parties,
more so, when the amount was borrowed under a contract.
5. The learned counsel for the respondent Bank
submits that the above amount of Rs.42.19 lakhs is to be
satisfied by the petitioner on before the 31st March, 2010.
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However, considering the entire aspects involved, this Court
find it fit and proper that the loan account could be settled on
payment of Rs.42.19 lakhs in full and final settlement of the
loan accounts . The petitioner is directed to pay a sum of
Rs.10 lakhs within one month from the date of receipt of a
copy of this judgment and the balance amount shall be
cleared by way of ‘four’ equal monthly instalments, the first
of which shall be effected on or before 15.4.2010, to be
followed by the subsequent instalments to be effected on or
before the 15th of the succeeding months.
6. Subject to the above, all further coercive steps
pursuant to Ext.P4 shall be kept in abeyance. It is also
made clear that, if any default is committed by the petitioner
in satisfying the amount as above, the respondents will be at
liberty to proceed with further steps for realisation of the
entire amount in a lump sum.
Writ Petition is disposed of, as above.
P.R RAMACHANDRA MENON
JUDGE
ma
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