IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON THURSDAY, THE 21ST MAY 2009 / 31ST VAISAKHA 1931 WP(C).No. 13710 of 2009(G) -------------------------- PETITIONERS: --------------------- 1. BABUKUTTAN NAIR B, PROPRIETOR, ARAPPURAYIL RUBBER AGENCIES, ELAMADU, RESIDING AT ARAPURAYIL HOUSE ELAMADU P.O. 2. KRISHNAKUMARY,ARAPURAYIL HOUSE, ELAMADU P.O. BY ADV. MR. P. SREEKUMAR ADV. MR .K.S.MANU (PUNUKKONNOOR) RESPONDENTS: ----------------------- 1. THE AUTHORISED OFFICER AND CHIEF MANAGER STATE BANK OF TRAVANCORE, AYUR BRANCH, KOLLAM. 2. STATE BANK OF TRAVANCORE REPRESENTED BY ITS CHIEF MANAGER, AYUR BRANCH, KOLLAM. R1 AND R2 BY ADV. MR. K.S. DILEEP, SC. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21/05/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON, J. ........................................................................ W.P.(C) No. 13710 OF 2009 ......................................................................... Dated this the 21ST May, 2009 J U D G M E N T The petitioners are aggrieved of the coercive proceedings taken by the respondent-Bank under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, in respect of the loan availed of by the petitioners from the Bank, after declaring the amount due from the petitioners as non performing assets. The petitioners have availed of a loan of Rs. 10 lakhs from the Bank way back in 2007 and because of some unforeseen circumstances, timely repayment could not be effected, which made the Bank to proceed against the petitioners, particularly against the property, which was owned by the second petitioner and mortgaged as a security to the loan. 2. Considering the facts and circumstances of the case, this Court does not find it necessary to go into the merits of the case, particularly, in view of the submission made by the petitioners that they are ready and willing to clear the entire W.P.(C) No. 13710 OF 2009 2 liability and such other penal charges, if some breathing time is given to them by way of instalments. 3. Heard Mr. K.S. Dileep, the learned counsel for the Bank as well. Accordingly, the matter is disposed of permitting the petitioners to clear the entire liability due to the bank, intercepting the proceedings pursued by the Bank under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, on condition that the petitioners remit a sum of Rs. Three lakhs on or before 20.06.2009. The balance amount shall be paid by way of equal monthly instalments, at the rate of Rs.1.75 lakhs, commencing from 20.07.2009. It is made clear that if the petitioners make any default in remitting the instalments, as specified above, the respondent Bank will be at liberty to proceed against the petitioners, in accordance with law for realisation of the entire amount as a lumpsum. P.R. RAMACHANDRA MENON, JUDGE. lk