High Court Kerala High Court

S.Jaya vs Federal Bank Ltd on 22 February, 2010

Kerala High Court
S.Jaya vs Federal Bank Ltd on 22 February, 2010
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 2163 of 2010(U)


1. S.JAYA , W/O.ASOKAN,
                      ...  Petitioner

                        Vs



1. FEDERAL BANK LTD
                       ...       Respondent

2. BRANCH MANAGER

                For Petitioner  :SRI.S.MOHAMMED AL RAFI

                For Respondent  :SRI.GEORGE VARGHESE (MANACHIRACKEL)

The Hon'ble MR. Justice P.R.RAMACHANDRA MENON

 Dated :22/02/2010

 O R D E R
               P.R. RAMACHANDRA MENON, J.
                 -----------------------------------------------
                         WP(C) No. 2163 of 2010
                        ------------------------------------
               Dated, this the 22nd day of January, 2010


                              J U D G M E N T

The petitioner is before this Court challenging the recovery

proceedings pursued by the respondents under the SARFAESI Act.

2. The learned counsel appearing for the respondent Bank

submits that two loans were availed by the petitioner, one, a ‘housing loan’

and the other ‘IPS loan’ (Instalment Payment Scheme). It is brought to the

notice of this Court that a total sum of Rs.2.1 lakhs is due in respect of the

defaulted instalments under the ‘Housing Loan’ and unless the petitioner

satisfies the entire ‘overdue’ amount, the question of regularization of the

‘Housing Loan’ is not liable to be entertained. The learned counsel also

submits that no such course is open in respect of the other loan, by virtue

of the very nature of the loan transaction and that a sum of nearly Rs.3.3

lakhs is due to wipe off the entire liability under the said loan.

2. The learned counsel for the petitioner submits that the

petitioner is ready and willing to clear the entire ‘overdue’ amount in

respect of the ‘housing loan’ and that the loan account might be ordered to

be regularized. With regard to the second loan, the learned counsel seeks

for some breathing time by way of reasonable instalments.

WP(C) No.2163/2010
2

3. After hearing both the sides, the petitioner is directed to clear the

entire ‘overdue’ amount under ‘housing loan’ by way of `two’ equal monthly

instalments, the first of which shall be effected on or before the 10th of March,

2010 and the other one on or before the 10th of April, 2010; on which event,

the ‘housing loan’ account shall stand regularized. This will be in addition to

the liability to the petitioner to clear the regular EMIs as well.

4. With regard to the IPS loan, the petitioner is permitted to wipe off

the entire liability by way of `six’ equal monthly instalments, the first of which

shall be effected on or before the 30th of March, 2010, to be followed by

similar instalments to be effected on or before the 30th of the succeeding

months.

5. It is made clear that if any default is committed by the petitioner

in satisfying the liability as above, the benefit of this judgment will stand

automatically withdrawn and the respondents will be at liberty to proceed with

further steps, in accordance with law. It is also recorded that the petitioner

does not intend to raise any challenge against the cause of action impugned

in this Writ Petition by availing the alternate remedy, in view of the nature of

relief sought for and obtained from this Court.

The Writ Petition is disposed of accordingly.

P. R. RAMACHANDRA MENON
JUDGE
dnc