IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON TUESDAY, THE 30TH MARCH 2010 / 9TH CHAITHRA 1932 WP(C).No. 8976 of 2010(V) ------------------------- PETITIONERS: --------------- 1. SMT.SHEEBA K.M., AGED 40 YEARS, W/O.SRI.SAJEEVAN M., 'VAISHNAVI', PALAYAD P.O.,THALASSERY. 2. SRI.SAJEEVAN .M., AGED 46 YEARS, S/O.SRI.MBHASKARAN, 'VAISHNAVI' THALASSERY. BY ADV. SRI.ZAKEER HUSSAIN SMT.K.A.SANJEETHA RESPONDENTS: --------------- 1. THE AUTHORISED OFFICER, REGIONAL OFFICE,SOUTH INDIAN BANK LTD., CHAKKORATHUKULAM,P.O.WEST HILL, KOZHIKODE-673005. 2. SOUTH INDIAN BANK LTD., GUNDERT ROAD, OPP.FIRE STATION & TELECOME OFFICE. THALASSERY REPRESENTED BY ITS BRANCH MANAGER. ADV. SRI.GEORGE VARGHESE (MANACHIRACKEL) , SC. SRI.P.R.MILTON SRI.K.J.CHACKOCHAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30/03/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON, J. .............................................................................. W.P.(C) No. 8976 OF 2010 ......................................................................... Dated this the 30th March, 2010 J U D G M E N T The first petitioner had availed a housing loan of Rs. Four lakhs from the second respondent Bank on the petitioners' creating security interest over the property in question belonging to the second petitioner. But the fact remains that the petitioners were not eager to clear the liability in time, under which circumstances, the Bank declared the account as 'NPA' and proceeded with further steps, which forms the subject matter of challenge in this Writ Petition. 2. The learned Counsel for the petitioners submits that the default was never wilful and the petitioners are ready and willing to clear the entire liability, provided some breathing time is given in this regard and that the petitioners might be permitted to continue to enjoy the benefit of the loan account after getting it regularised. W.P.(C) No. 8976 OF 2010 2 3. The learned Counsel for the respondent Bank submits that a sum of Rs. One Lakh Five thousand is 'overdue' towards defaulted installments and unless and until the said amount is cleared forthwith, the request of the petitioners for having the loan account regularised is not liable to be entertained. 4. After hearing both the sides, this Court finds that the loan being in the Housing Sector, an opportunity to clear the overdue amount and to have the loan account regularised can be given. Accordingly, the petitioners are permitted to clear the 'overdue' amount by way of 'two' equal monthly installments, the first of which shall be paid on or before 15.04.2010 and the second one on or before 15.05.2010. It is also made clear that the petitioners shall continue to effect the regular E.M.Is as originally stipulated, besides clearing the arrears as above. The loan will stand regularised accordingly and all coercive proceedings shall be kept in abeyance for the time being. It is further made clear that if the petitioners commit any default in remitting the overdue amounts/arrears as above or in the event of committing two consecutive defaults in respect of the regular W.P.(C) No. 8976 OF 2010 3 E.M.Is payable, the respondent Bank will be at liberty to proceed with further steps for realisation of the entire outstanding liability in a lump sum, pursuing the coercive steps, from the stage where it stands now. The Writ Petition is disposed of. P.R. RAMACHANDRA MENON, JUDGE. lk