High Court Kerala High Court

S.Nagappan Pillai vs State Of Kerala on 17 February, 2009

Kerala High Court
S.Nagappan Pillai vs State Of Kerala on 17 February, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 4831 of 2009(A)


1. S.NAGAPPAN PILLAI
                      ...  Petitioner

                        Vs



1. STATE OF KERALA
                       ...       Respondent

2. THE REGISTRAR OF CO-OPERATIVE SOCIETIES

3. THE DEPUTY REGISTRAR (CREDIT)

4. THE JOINT REGISTRAR  (GENERAL)

5. THE KERALA STATE CO-OPERATIVE BANK LTD

6. THE AUTHORISED OFFICER

7. THE MANAGER (LOANS)

8. SMT.CHANDRAVALLY AMMA

                For Petitioner  :SRI.R.SURAJ KUMAR

                For Respondent  :SRI.NAGARAJ NARAYANAN,SC,K.S.CO-OP BANK

The Hon'ble MR. Justice THOTTATHIL B.RADHAKRISHNAN

 Dated :17/02/2009

 O R D E R
               THOTTATHIL B RADHAKRISHNAN, J
                     ...........................................
                  WP(C).NO. 4831                   OF 2009
                    ............................................
     DATED THIS THE             17TH DAY OF FEBRUARY, 2009

                                JUDGMENT

Government Pleader appears for respondents 1 to 4. Standing

Counsel Sri Nagaraj Narayan appears for respondents 5 to 7. Notice

to 8th respondent dispensed with. Petitioner availed a mortgage loan

from the 7th respondent. Later he retired from service. The repayment

into the loan account was hardly around Rs.95,000/- against the loan

of Rs.4.5 lakhs advanced from 14.1.2004. He was to repay that

amount in 60 instalments of Rs.10,485/-. This means that he had paid

less than ten instalments, even if I were to consider the amounts as

paid promptly. Even then, from the beginning of 2005, he is in default.

The bank, as per Ext.P11, offered One Time Settlement Scheme,

asking the petitioner to avail the benefit of closing the transaction.

The petitioner however says that he received Ext.P11 only on

31.1.2009 and has moved this court for relief, which is nothing but

that One Time Settlement Scheme may be extended to him. He does

not challenge SARFAESI Act proceedings and contends that his

prayer is only one for an opportunity to save the property by paying

off the entire amounts. Petitioner, through his counsel, gives up all the

contentions challenging SARFAESI Act proceedings and also right to

move Debt Recovery Tribunal under Section 17 of SARFAESI Act.

WP(C) 4831/2009 2

Under such circumstances, it is ordered that if the petitioner remits

an amount of Rs.1,00,000/- within a period of four weeks and a

further amount of Rs.1,00,000/- within a further period of four weeks,

the bank will consider extending to the petitioner, the benefit of One

Time Settlement Scheme and the petitioner may be permitted to enjoy

that scheme. The distress action under SARFAESI Act will stand

adjourned in the above terms and regulated thereby. If the petitioner

does not remit any of the instalments as aforesaid, or further amounts

in terms of One Time Settlement Scheme as may be extended by

the bank, the creditor bank will be entitled to further proceed with

SARFAESI Act proceedings, from the stage at which it has reached,

as if now.

Writ petition ordered accordingly.

THOTTATHIL B RADHAKRISHNAN,
JUDGE

lgk/19/2