IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 11TH OCTOBER 2010 / 19TH ASWINA 1932 WP(C).No. 27317 of 2010(L) --------------------------------------- PETITIONER(S): ----------------------- JOSEPH V.P., VATHALLOOR HOUSE, LALAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT. BY ADV. SRI.P.P.THAJUDEEN, SRI.MANSOOR.B.H. RESPONDENT(S): -------------------------- 1. THE KOTTAYAM DISTRICT CO-OPERATIVE BANK, REP. BY ITS GENERAL MANAGER, HEAD OFFICE, KOTTAYAM. 2. AUTHORISED OFFICER, KOTTAYAM DISTRICT CO-OPERATIVE BANK, HEAD OFFICE, KOTTAYAM. R1 & R2 BY ADV. SRI.T.A.SHAJI THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 11/10/2010,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: rs C.K.ABDUL REHIM, J. ------------------------------------------- W.P.(C).No.27317 of 2010 ------------------------------------------- Dated this the 11th day of October, 2010 J U D G M E N T ---------------------- The writ petition is filed challenging Ext.P2 notice of sale published consequent to steps initiated under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). When the writ petition came up for admission on 3.9.2010, this court directed to keep in abeyance the sale subject to condition of the petitioner remitting a sum of Rs.1,00,000/- on or before 17.9.2010. It is submitted by both sides that the stipulation has already been complied with. Learned Standing Counsel appearing for the respondents submitted that the balance outstanding will be around Rs.3.5 lakhs as on 26.7.2010, along with future interest accruing. 2. Since the petitioner had not challenged the proceedings initiated under the SARFAESI Act by availing any of the remedies provided thereunder, at any stage during issuance of demand under Section 13(2), or when the property was taken over possession under Section 13(4), the challenge against the sale by invoking writ jurisdiction under W.P.(C).27317/10-L -2- Article 226, could not be entertained. 3. However, learned counsel appearing for the petitioner submitted that the petitioner is relinquishing all challenges against the proceedings and that he is not intending to invoke any of the remedies provided under the statute. On the other hand, he requested for indulgence of this court in permitting payment of the entire liability in a lump sum within a short period, provided the respondent Bank considers waiver of interest/penal interest and expenses to the possible extent. 4. According to the counsel for the respondents, there was deliberate default on the part of the petitioner and the loan account is pending in chronic arrears. However, if the petitioner is ready to pay off the liability in a lump sum, the Bank will consider chances of giving waiver of any amounts to the possible extent, is the submission. 5. Under the above circumstances, the writ petition is disposed of directing the petitioner to pay off the entire amount outstanding within a period of one month from today. The respondents are directed to keep in abeyance all further steps pursuant to Ext.P2 notice till then. If the petitioner approaches the Bank offering payment of the entire balance, the respondents W.P.(C).27317/10-L -3- will consider waiver of interest/penal interest and expenses to the possible extent. 6. It is made clear that on the event of default in payment of the amounts within the time stipulated as above, the respondents will be free to proceed with further steps. C.K.ABDUL REHIM, JUDGE. okb