IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 35452 of 2009(B)
1. SMT.LEENA VARGHESE, ERIKALAVILA
... Petitioner
Vs
1. STATE BANK OF TRAVANCORE, POOVAR BRANCH,
... Respondent
2. THE AUTHORIZED OFFICER,
3. BINTHSOFIA.S.
For Petitioner :SRI.G.HARIHARAN
For Respondent : No Appearance
The Hon'ble MR. Justice C.K.ABDUL REHIM
Dated :17/12/2009
O R D E R
C.K. ABDUL REHIM, J.
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W.P.(C)No. 35452 of 2009
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Dated this the 17th day of December, 2009
J U D G M E N T
1. Eventhough the challenge raised against the
proceedings initiated under the Securitization and
Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002 (SARFAESI Act) could not be
entertained in this writ petition in view of the effective
alternate remedy available, the petitioner submitted that he
is confining relief to the extent of permitting regularization
of the loan account, on payment of the defaulted amounts
along with interest and expenses if any liable.
2. Learned standing counsel appearing for
respondents 1 & 2 submitted that the loan was availed in
the year 2005 with a repayment period of 10 years. But the
petitioner had defaulted payment of the monthly
installments, for a considerable period. It is further stated
that the petitioner has not filed any effective objection
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against the SARFAESI proceedings initiated and the matter
now stands for taking over possession of the secured asset
by virtue of orders issued by the Chief Judicial Magistrate
Court under Section 14 of the Act. Therefore the
respondent Bank is not favouring in granting any extended
period for regularizing the account.
3. Having considered facts and circumstances and
submission on both sides, I am of the opinion that some
indulgence can be shown in the matter of permitting the
petitioner to regularize the loan account.
4. If the petitioner makes payment of the entire
amount due pertaining to the defaulted installments, along
with interest/penal interest and expenses if any liable,
within a period of six weeks from today, the respondents
1 & 2 shall permit the petitioner to continue payment of
future installments as per the original schedule of
repayment. It is made clear that the petitioner shall also
make payment of the regular installments due for the month
of January 2010 along with the above payment.
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5. If any of the amounts as stipulated above is
default payment, the respondents will be at liberty to
proceed with further steps pursuant to the order already
issued under Section 14 and on such event the petitioner
will be precluded from raising any subsequent challenge
against such proceedings either before this court or before
any other forum.
C.K. ABDUL REHIM
JUDGE
shg/