High Court Kerala High Court

M.K.Ali vs Federal Bank Ltd. on 26 September, 2008

Kerala High Court
M.K.Ali vs Federal Bank Ltd. on 26 September, 2008
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 28656 of 2008(J)


1. M.K.ALI, S/O.MOHAMMED HAJI,
                      ...  Petitioner

                        Vs



1. FEDERAL BANK LTD., REP. BY
                       ...       Respondent

2. AUTHORISED OFFICER, FEDERAL BANK LTD.

3. MANAGER, FEDERAL BANK LTD.,

                For Petitioner  :SRI.AVM.SALAHUDIN

                For Respondent  : No Appearance

The Hon'ble MR. Justice THOTTATHIL B.RADHAKRISHNAN

 Dated :26/09/2008

 O R D E R
        THOTTATHIL B. RADHAKRISHNAN, J.
     ------------------------------------------------------------------------
                 W.P.(C) NO.28656 OF 2008 (J)
     ------------------------------------------------------------------------
        Dated this the 26th day of September, 2008

                           J U D G M E N T

Having regard to the nature of the orders being issued

hereunder, notice to respondents is dispensed with, preserving

their right to move for review of this judgment, if aggrieved.

2. The petitioner challenged Exhibit P2 proceedings whereby

notice was issued under Section 13(2) of the SARFAESI Act. The

transaction is admitted. The default is not in dispute. The

accruals have given the cause of action for the impugned action.

With that in view, there is no jurisdictional error or legal

infirmity in the impugned proceedings.

3. The learned counsel for the petitioner submitted that if

Exhibit P3 is considered, the petitioner would be given certain

concessions by the bank and that his client is ready to pay off the

outstandings, if he is given 6 to 8 months’ time. I am not

impressed to hold that the bank has to delay the recovery

proceedings so long.

W.P.(C) No.28656/2008

– 2 –

Having regard to the transaction, with the Government and

the fact that as on 01-08-2008 the total outstandings was

Rs.8,62,739/-, to be recovered with accruals and expenditure,

this writ petition is ordered directing that if the petitioner remits

amounts at the rate of Rs.2 lakhs per month, payable on or

before the 20th day of every month commencing from October,

2008, the respondents will consider whether any relief could be

granted on the basis of the petitioner’s request in Exhibit P3 on

petitioner remitting a total amount of Rs.6 lakhs following the

schedule, as stated above. If there is default in remitting any of

the instalments as afore-directed, the benefit of this judgment

shall stand recalled automatically and the respondents will be at

liberty to forthwith proceed with further recovery action. All

other questions stand answered against the petitioner.

Sd/-

THOTTATHIL B. RADHAKRISHNAN,
JUDGE

skr/29/9

// True copy //

P.A. to Judge.