IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 26TH OCTOBER 2009 / 4TH KARTHIKA 1931 WP(C).No. 29785 of 2009(P) -------------------------- PETITIONER(S): --------------- THAJUDEEN.A., PROP.M/S.ASHIQUE AGENCIES, S/O.ABDUL REHIM RESIDING AT KANJIRIRAMVILA VEEDU MULLOOR P.O., REPRESENTED BY THE POWER OF ATTORNEY HOLDER MOHAMMED KHAN NADIYA MANZIL MUKKOMPLAVILA KUZHIVILA, PARASSALA P.O., THIRUVANANTHAPURAM DISTRICT. BY ADV. SRI.M.R.SARIN PANICKER SRI.M.R.SASITH PANICKER SRI.K.MOHANAKUMAR SRI.SEBASTIAN JOSEPH (KURISUMMOOTTIL) SRI.K.K.SUNIL KUMAR (IDUKKI) RESPONDENT(S): --------------- 1. AUTHORISED OFFICER/CHIEF MANAGER (ADVANCES) STATE BANK OF TRAVANCORE REGION 11, ZONAL OFFICE, KSHB BLDG SANTHINAGAR, THIRUVANANTHAPURAM. 2. MANAGER, STATE BANK OF TRAVANCORE VIZHINJAM, THIRUVANANTHAPURAM. BY SRI SATHISH NINAN, SC. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 26/10/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: rkc C.K.ABDUL REHIM, J. ------------------------------ W.P.(C).No.29785 OF 2009 ------------------------------ Dated this the 26th day of October, 2009 J U D G M E N T ---------------------- 1. The petitioner had availed a Business Loan from the 2nd respondent Bank to the tune of Rs.6 lakhs in various phases during the year 2003 to 2006. Immovable property belonging to the petitioner was mortgaged for securing the loan. Petitioner is at present working abroad and his family is residing in the property which is mortgaged. Consequent to default committed in repayment of the loan, the respondents had initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) and Ext.P1 notice was issued demanding payment of the arrears. According to the petitioner on receipt of Ext.P1 he had approached the Bank seeking reasonable time to pay off the entire amount in installments. But the Bank had not acceded to such request and the petitioner apprehends coercive steps pursuant to Ext.P1 notice. 2. Learned standing counsel appearing for the respondents on the basis of instructions submitted that an amount of Rs.6,77,085/- is outstanding in the loan account as on W.P.(C).29785/09-P 2 23.10.2009. Inspite of the fact that the petitioner is deriving rental income out of the commercial building situated in the property, and inspite he is earning by working abroad, the petitioner is not taking any earnest efforts to pay off the liability. However, the Bank is not favouring in granting easy installment facility to the petitioner to pay off the liability. 3. Having considered contentions on both sides and the facts and circumstances of the case I am of the opinion that some indulgence can be shown in the matter of permitting the petitioner to pay off the entire liability within a reasonable time, in installments, eventhough interference on merits is not desirable since the proceedings is only at the stage of notice under Section 13(2). 4. Accordingly the writ petition is disposed of directing the petitioner to make payment of an amount of Rs.1,50,000/- on or before 30.12.2009. The respondents are restrained from proceeding with any further coercive steps for dispossession of the petitioner from the property till such date. If the amount is deposited as above, the Bank will issue a statement to the petitioner showing the total outstanding, after crediting all payments and after considering waiver of interest/default interest and expenses if any possible. The petitioner shall continue payment of the balance so intimated in 4 (four) equal W.P.(C).29785/09-P 3 monthly installments starting from 31.1.2010 and on or before the last day of the succeeding months. 5. It is made clear that on the event of default in payment of any of the amount as stipulated above, the respondents will be free to proceed with further steps pursuant to the notices already issued 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