IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN TUESDAY, THE 6TH SEPTEMBER 2011 / 15TH BHADRA 1933 WP(C).No. 22729 of 2011(M) -------------------------- PETITIONER ------------------ TINUMON.S., AGED 30 YEARS, S/O.MOHAMMED SHEREEF, DANIEL BHAVAN, NATTAKOM VILLAGE, KOTTAYAM. BY ADV. SRI.P.V.GEORGE(PUTHIYIDAM) RESPONDENT(S): ------------------------- 1. ORIENTAL BANK OF COMMERCE, KORATTIYIL COMPLEX BUILDING, SASTRI ROAD, KOTTAYAM, REPRESENTED BY BRANCH MANAGER, KOTTAYAM-686 001. 2. AUTHORISED OFFICER, ORIENTAL BANK OF COMMERCE, KORATTIYIL COMPLEX BUILDING, SASTRI ROAD, KOTTAYAM- 686 001. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 06/09/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 22729 of 2011(M) ---------------------------------------- APPENDIX --------------- PETITIONER'S EXHIBITS ------------------------------------ EXT.P1. COPY OF THE NOTICE UNDER SECTION 13 (2) OF SARFAESI ACT DT 8.9.2009 ISSUED BY 2ND RESPONDENT. EXT.P2. COPY of the NOTICE UNDER SECTIN 13 (4) OF THE SARFAESI ACT DATED 18.8.2010 EXT.P3. COPY of the COUNTERFOIL OF PAY-IN-SLIP DT. 8.4.2011. EXT.P4. COPY F THE APPLICATION UNDERSECTION 14 OF THE SARFAESI ACT AS CMP NO.1460/11 FILED BY THE 2ND RESPONDENT BEFORE THE CHIEF JUDICIAL MAGISTRATE COURT KOTTAYAM. RESPONDENT'S EXHIBITS : NIL ------------------------------------- / TRUE COPY / P.A. TO JUDGE VK S. SIRI JAGAN, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No.22729 of 2011 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 6th day of September, 2011 J U D G M E N T The petitioner challenges proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) initiated by the respondents for recovery of defaulted loan amounts. The petitioner does not dispute the liability to pay or the quantum. The petitioner only seeks regularisation of the loan account by paying the defaulted instalments of repayment of loan and to continue to pay the future instalments on due dates as per the original loan agreement. This Court issued notice by special messenger to the respondents which was served. The petitioner was directed to pay Rs.1 lakh as a condition for stay. The petitioner submits that, the petitioner has paid that amount. Despite service of notice on the respondents, the respondents have not chosen to enter appearance to contest the matter. In the above circumstances, this writ petition is W.P.(C)No.22729 of 2011 -2- disposed of with the following directions: The petitioner shall pay the amount required to regularise the loan account within one month from today. On payment of the same, the respondents shall regularise the loan account and allow the petitioner to continue to pay the future installments of repayment of loan as per the original loan agreement on due dates without default. If the petitioner complies with the above directions strictly, further proceedings under the Act shall be kept in abeyance. However, if the petitioner commits default in payment of the amounts required for regularising the loan account or any of the future instalments on due dates, it would be open to the respondents to continue proceedings as now initiated without having to issue any fresh notice or proceedings in that regard. Sd/- S. SIRI JAGAN JUDGE //True copy// shg/ P.A. TO JUDGE