IN THE HIGH COURT OF KERALA AT ERNAKULAM
WP(C).No. 10078 of 2009(D)
1. T.THULASEEDHARAN,
... Petitioner
Vs
1. STATE BANK OF TRAVANCORE,
... Respondent
For Petitioner :SRI.B.PREMOD
For Respondent :SRI.R.S.KALKURA
The Hon'ble MR. Justice C.K.ABDUL REHIM
Dated :26/10/2009
O R D E R
C.K.ABDUL REHIM, J.
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W.P.(C).No.10078 OF 2009
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Dated this the 26th day of October, 2009
J U D G M E N T
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1. The petitioner had availed a Housing Loan from the
respondent Bank during the year 2000, to the tune of
Rs.2,50,000/-. As per terms of the loan agreement, the amount
was agreed to be repaid in 140 equal monthly installments at the
rate of Rs.2600/- per month. Immovable property belonging to
the petitioner was mortgaged for securing the loan transaction.
According to the petitioner he had effected repayments promptly
for a considerable period and thereafter regular repayments
could not be effected due to some unforeseen financial
stringencies. Consequent to default committed in payment of
the amounts, the Bank had initiated proceedings under the
Securitisation and Reconstruction of Financial Assets and
Enforcement of Security Interest Act, 2002 (SARFAESI Act) and
notice under Section 13(2) as evidenced from Ext.P2, claiming
an amount of Rs.4,22,987/- as on 30.11.2008 was demanded.
According to the petitioner he had effected considerable
payment even after receipt of notice under Section 13(2). But
without considering the request of the petitioner for permitting
W.P.(C).10078/09-D 2
to regularise the loan account, the respondent Bank had
approached the Chief Judicial Magistrate, under Section 14(1) of
the Act and an Advocate Commissioner was appointed to take
over possession of the property.
2. By virtue of an interim order issued by this court on
27.3.2009, the petitioner had effected payment of an amount of
Rs.80,000/- in two installments. It is submitted that he had
effected further payment of Rs.15,000/- on 24.10.2009. The
petitioner is making serious dispute about correctness of the
amount in demand. However, the petitioner is expressing his
willingness to pay off the entire liability, provided the Bank will
consider waiver of interest/default interest to the possible extent.
The respondent Bank is not favouring in permitting any further
time for making payment of the outstanding balance.
3. Having considered contentions on both sides and facts
and circumstances of the case, I am of the opinion that
indulgence can be shown in permitting the petitioner to pay off
the entire liability, within a reasonable time, in installments,
eventhough interference on merit with respect to the SARFAESI
proceedings is not desirable in view of the effective alternate
remedy available.
4. Under the above circumstances the writ petition is
disposed of directing the petitioner to make payment of an
W.P.(C).10078/09-D 3
amount of Rs.75,000/- on or before 30th November, 2009. The
respondent is directed to keep in abeyance further coercive
steps till such date. If the amount as stipulated is paid, the
respondent Bank shall issue a balance statement to the
petitioner after crediting all payments and after considering
waiver of interest/default interest to the possible extent. The
petitioner shall continue payment of the balance so intimated in
4 (four) equal monthly installments falling due on or before
31.12.2009 and on or before the last day of succeeding months.
5. It is made clear that on the event of default in making
payment of any of the amounts as stipulated above, the
respondents will be free to take further steps pursuant to orders
already issued by the Chief Judicial Magistrate Court 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.
okb