Sivadasan vs The Kerala Financial Corporation on 4 August, 2008

       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 13692 of 2008(E)


1. SIVADASAN,SREE MURUGA CASHEW FACTORY,
                      ...  Petitioner

                        Vs



1. THE KERALA FINANCIAL CORPORATION
                       ...       Respondent

2. THE CHIEF MANAGER, KERALA FINANCIAL

                For Petitioner  :SRI.T.M.CHANDRAN

                For Respondent  :SRI.A.A.ABUL HASSAN, SC, KFC

The Hon'ble MR. Justice S.SIRI JAGAN

 Dated :04/08/2008

 O R D E R
                         S. SIRI JAGAN, J.
                 ------------------------------------
                   W.P.(C)No. 13692 OF 2008
               ----------------------------------------
                Dated this the 4th day of August, 2008

                            JUDGMENT

The petitioner approaches this Court seeking One Time

Settlement facility in respect of the loan amount due from him to

the Kerala Financial Corporation, who initiated coercive

proceedings for recovery of the amounts due. The petitioner

originally took the contention that he has found a purchaser for

the property who is willing to pay much more than what the KFC

would realize by a distress sale. Accordingly, he impleaded the

3rd respondent, who submitted before me that he is willing to pay

an amount of Rs.63,26,500/- to the KFC on or before 31.7.2008

for the property. Accordingly, I passed the following interim

order in this writ petition:

“There would be an interim direction to the
additional 3rd respondent to pay an amount of
Rs.63,26,500/- to the 1st respondent-Kerala Financial
Corporation on or before 31.7.2008, which payment would
be treated as settlement of the amounts payable by the
petitioner to the Financial Corporation under the OTS
Scheme. The question of payment of collection charges

W.P.(c)No.13692/08 2

would be decided later. For that purpose, the
petitioner would implead the State also as respondent
in the writ petition. However, interest at the rate of
10.5 per cent would also be paid till the date of
payment from today”.

Thereafter, the same has been adjourned from time to time

and ultimately I directed that this case be posted to today so

that the 3rd respondent can pay the amount on or before

31.7.2008. Today, the petitioner submits that unless the

dispute is finally settled, the 3rd respondent is not willing to pay

the money. The petitioner seeks six more months time.

I am satisfied that this is only a ploy for protracting the

sale further. Therefore, I am not inclined to give any further

indulgence to the petitioner since admittedly amounts are due

from the petitioner to the KFC in repayment of loan amounts

taken by him.

Accordingly, the writ petition is dismissed.

S. SIRI JAGAN, JUDGE

Acd

W.P.(c)No.13692/08 3