IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 4TH APRIL 2011 / 14TH CHAITHRA 1933 WP(C).No. 10676 of 2011(H) -------------------------- PETITIONER(S): --------------- SMT.SANKALP.C., S/O.CHANDRAN, VAKKOM P.O., THIRUVANANTHAPURAM. BY ADV. SRI.M.R.SARIN RESPONDENT(S): --------------- THE AUTHORISED OFFICER/ASST.GENERAL MANAGER, CORPORATION BANK LTD., STATION ROAD, VARKALA, THIRUVANANTHAPURAM - 695 001. BY SRI.N.RAJAGOPALAN NAIR - SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04/04/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J --------------------------------------- W.P(C) No.10676 of 2011-H ---------------------------------------- Dated this the 4th day of April, 2011. J U D G M E N T Consequent to default committed in repayment of an educational loan availed from the respondent Bank, proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) was initiated. Ext.P2 is the notice issued intimating steps taken under Section 13(4). According to the petitioner the coercive steps are now being pursued without acceding to his request to permit payment of the amounts in a phased manner, within a reasonable time. 2. Heard; standing counsel appearing for the respondent Bank. It is stated that an amount of more than Rs.3.53 lakhs is pending payment and the loan account in question was declared as 'NPA' as early as in the year 2009. 3. Considering the statutory remedy provided under the SARFAESI Act and also considering the directives W.P(C) No.10676 of 2011-H 2 issued by the Hon'ble Supreme Court in United Bank of India V Sathyawati Tondon & others (2010(8) SCC 110) it is not justified on the part of this Court to interdict with the proceedings. 4. However, learned counsel for the petitioner made an appeal in permitting the petitioner to wipe off the liability in a phased manner, based on an undertaking that the petitioner is relinquishing all challenges raised against the proceedings and also relinquishing statutory rights if any available. 5. Having considered the limited relief sought for, I am of the view that indulgence can be shown in permitting the petitioner to wipe off the liability in a phased manner since he is relinquishing all challenges. 6. Accordingly, the writ petition is disposed of directing the respondent Bank to keep in abeyance all further steps for dispossession and sale of the property, subject to condition of the petitioner remitting the entire balance outstanding, along with interest and expenses if any W.P(C) No.10676 of 2011-H 3 due, in 5 (five) equal monthly instalments, falling due on or before 30.4.2011 and on or before the last of succeeding months. 7. It is made clear that on the event of default in payment of any one of the instalments, the respondent will be free to proceed with further steps. It is further made clear that the above relief is granted subject to condition that the petitioner is precluded from raising any subsequent challenge against such proceedings. C.K.ABDUL REHIM JUDGE ab