IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN THURSDAY, THE 12TH FEBRUARY 2009 / 23RD MAGHA 1930 WP(C).No. 30740 of 2008(H) -------------------------- PETITIONER(S): --------------- T.CHANDRIKA DEVI, CHANDRA VILASAM, POTTAMTHOTTAM, PANTHA P.O., VAZHICHAL, THIRUVANANTHAPURAM. BY ADV. SRI.T.RAJASEKHARAN NAIR RESPONDENT(S): --------------- 1. THE FEDERAL BANK LTD., REPRESENTED BY ITS CHIEF MANAGER/AUTHORIZED OFFICER, REGIONALL OFFICE, FEDERAL TOWERS, M.G.ROAD, THIRUVANANTHAPURAM. 2. THE BRANCH MANAGER, FEDERAL BANK LTD., KALLIKADU BRANCH, MYLAKKARA P.O., VIA.KATTAKADA, THIRUVANANTHAPURAM. ADV. SRI.GEORGE VARGHESE (MANACHIRACKEL) FOR R1 & 2 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 12/02/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: THOTTATHIL B RADHAKRISHNAN, J ........................................... WP(C).NO. 30740 OF 2008 ............................................ DATED THIS THE 12TH DAY OF FEBRUARY, 2009 JUDGMENT Petitioner availed two facilities from the first respondent. One was a housing loan and the other, an agricultural loan. The bank sued the petitioner and obtained a decree consolidating both the transactions. The said decree, viz, Ext.P6 provides 12% interest during the pendency of the suit and 6% future interest. The parties are bound by the decree. By giving effect to Agricultural Debt Waiver Scheme, agricultural loan has been wiped off. This means, Ext.P2 decree will now stand only as regards the housing loan. Even the decree classifies both the transactions and has essentially put the decree as a severable one. Therefore, as of now, the bank can only treat the decree debt in terms of Ext.P6 to the extent it relates to the housing loan as the security interest being enforced through SARFAESI Act against security property. This is the manner in which the definition of the term security interest as defined in SARFAESI Act has to be understood because security interest as defined in SARFAESI Act under Section 2(3)(f) means right, title and interest of any kind, whatsoever upon property, created in favour of a secured creditor. The decree having become final, the decree debt represents security interest. The latter portion of the definition clause referred to WP(C) 30740/2008 2 above is only an inclusive limb which indicates the different types of security interests that fall within the umbrella of that definition and nothing more. Added to the decree debt, the bank is also entitled to realise the charges for the securitization proceedings. All these matters could also fall for a One Time Settlement Scheme or ameliorative benefit that could be extended to the petitioner particularly when she has already been identified as an agriculturist entitled to waiver of the agricultural loan. Petitioner has paid an amount of Rs.75,000/- pending writ petition. Therefore writ petition is ordered directing that the petitioner will appear before the first respondent on 25th February 2009 and would then be told the total outstandings that petitioner is left to pay in terms of what is stated above, even by considering any ways for ameliorative concessions. First respondent will then provide the petitioner a reasonable opportunity since the petitioner appears to be anxious in having a bonafide inclination to wipe off the outstandings. Further enforcement of impugned proceedings will then depend upon the decision of first respondent. Writ petition ordered accordingly. THOTTATHIL B RADHAKRISHNAN, JUDGE lgk/16/2