IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN FRIDAY, THE 30TH JANUARY 2009 / 10TH MAGHA 1930 WP(C).No. 36022 of 2008(L) ----------- -------------------------- OA.220/2002 OF THE DEBTS RECOVERY TRIBUNAL, ERNAKULAM .................... PETITIONER: ------------------- P.V.THAMBY, S/O.P.C.VARGHESE, AGED 54 YEARS, PROPRIETOR, M/S.P.V.S.RICE MILLS, KULAKAPARA, KOZHINJAMPARA, PALAKKAD. BY ADV. SRI.E.D.GEORGE RESPONDENTS: ----------------------- 1. SOUTH INDIAN BANK LTD, KOZHINJAMPARA BRANCH, PALAKKAD DISTRICT. 2. DEBTS RECOVERY OFFICER, DEBTS RECOVERY TRIBUNAL, KERALA AND LAKSHADWEEP),ERNAKULAM. ADDL.3. P.V.JUNJAPPAN, S/O.P.C.VARGHESE, PULLICHKODU HOUSE, KOZHINJAMPARA, PALAKKAD. 4. P.V.CHUMMAR, S/O.P.C.VARGHESE, PULLICHKODU HOUSE, KOZHINJAMPARA, PALAKKAD. ADDL.5. V.G.DIVAKARAN, S/O.LATE P.K.G.KURUP, 48/313. 'SARANAM', ELAMAKKARA, COCHIN0682 016. 6. J.JULIUS SMITH, S/O.LATE T.L.JOSEPH, II/281-C, DESIYA KAVALA, VAZHAKALA, THRIKKAKARA P.O., COCHIN-682021. (ADDITIONAL RESPONDENTS 3 AND 4 ARE IMPLEADED VIDE ORDER DATED 9.12.2008 IN I.A.NO.15735/2008) (ADDITIONAL RESPONDENTS 5 AND 6 ARE IMPLEADED VIDE ORDER DATED 17.12.2008 IN I.A.NO.16042/2008) ADV. SRI.K.K.JOHN FOR R1 ADV.SRI.K.MANU RAJ FOR ADDL.R3 & 4 ADV.SRI.N.N.SUGUNAPALAN (SR.) FOR ADDL.R5 & R6 ADV.SRI.S.SUJIN FOR ADDL.R5 & R6 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 30/01/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) NO.36022 OF 2008-L APPENDIX PETITIONER'S EXHIBITS: EXT.P1 TRUE COPY OF NOTICE DATED 2.4.2007 ISSUED TO THE PETITIONER BY 2ND RESPONDENT EXT.P2 TRUE COPY OF PETITION SUBMITTED BY PETITIONER BEFORE THE 1ST RESPONDENT EXT.P3 TRUE COPY OF NOTICE DATED 2.4.2008 ISSUED BY THE 2ND RESPONDENT EXT.P4 TRUE COPY OF THE VALUATION REPORT EXT.P5 TRUE COPY OF THE SETTLEMENT LETTER ISSUED BY THE BANK EXT.P6 TRUE COPY OF THE I.A.1463/08 FILED BEFORE THE 2ND RESPONDENT RESPONDENTS' EXHIBITS: EXT.R1(A) COPY OF THE JUDGMENT IN W.P.(C) NO.14594/2008 DATED 4.9.2008 EXT.R1(B) COPY OF THE OBJECTION FILED BY THE PETITIONER DATED 15.10.2008 EXT.R1(C) COPY OF THE COUNTER STATEMENT FILED BY THE FIRST RESPONDENT DATED 24.11.2008 EXT.R1(D) TRUE COPY OF THE COUNTER AFFIDAVIT FILED BY THE RESPONDENT DATED 24.11.2008. / TRUE COPY / THOTTATHIL B.RADHAKRISHNAN, J. ------------------------------------------- W.P.(C) No.36022 of 2008 ------------------------------------------- Dated, this the 30th day of January, 2009 JUDGMENT The petitioner is a debtor under a certificate issued by the Debts Recovery Tribunal to the first respondent. His property was put to sale and purchased in auction by respondents 5 and 6. The sale was not confirmed following the interim orders issued by this Court. With the passage of time, the petitioner has paid around Rs.16 lakhs. The remaining outstandings, according to the Bank, would be something around a further Rs.8 lakhs. The auction purchasers who purchased the property for about Rs.28 lakhs have agreed to concede their rights on the basis of that unconfirmed sale, provided they are paid off what has been paid by them for the purchase. 2. Having regard to the fact that the petitioner has made the deposit as noted above, it is directed that if the petitioner deposits a further amount of Rupees six lakhs within a period of one month from today, the Bank will consider any request of the petitioner for reduction in the total outstanding as may be found just and proper in the wisdom of the Bank, having regard to the various attendant facts and circumstances. Since the sale has necessarily to go by the force of this judgment, the sale in favour of additional respondents 5 and 6 will stand set aside and the amount deposited by them towards consideration will be returned to them W.P.(C) No.36022 of 2008 2 at the earliest. The Bank will continue to hold charge over the property until the transaction is settled and if the petitioner does not pay the remaining amount in the light of this judgment and such other amount as may be fixed by the Bank in terms of this judgment, the Bank will be at liberty to forthwith put the property for sale and in such an event the petitioner will be liable to a further amount of Rupees one lakh as costs to cover the additional expenses that may be incurred in connection with any such rescheduled sale. It will also be open to the petitioner to seek any relief from the Bank for conceding a further charge over the property to any other Bank or even to release any item subject to such decision that the Bank may take in that regard. Since the amounts already deposited by the petitioner are in a suspense account, the Bank can appropriate it to the loan account and give due credit in terms of the loan. The Recovery Officer will ensure that the release of the amount in terms of this judgment to respondents 5 and 6 is made within a fortnight from the date of receipt of a copy of this judgment. Writ petition is disposed of as above. THOTTATHIL B.RADHAKRISHNAN, JUDGE vns