IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM THURSDAY, THE 16TH JUNE 2011 / 26TH JYAISHTA 1933 WP(C).No. 7773 of 2011(V) -------------------------------------- CRMP.NO. 852/2011 of C.J.M., ALAPPUZHA .................... PETITIONER(S): ------------------------ RADHAKRISHNA PILLAI, PARVATHI MANDIRAM, THYCKATTUSSERY VILLAGE, POOCHACKAL P.O., CHERTHALA, ALAPPUZHA. BY ADV. SRI.V.P.MOHAMMED NIYAZ SRI.K.RONALD JOSE RESPONDENT(S): ---------------------------- 1. STATE BANK OF MYSORE, REPRESENTED BY ITS AUTHORIZED OFFICER, ERNAKULAM BRANCH, NARAKATHARA ROAD, SHENOYS JUNCTION, ERNAKULAM- 682 035. 2. A.M.MOHAMMEDKUTTY, ASARIPARAMBIL VEEDU, CHANDIROOR, ALAPPUZHA,PIN 688 547. R1 BY ADV. SRI.LAL GEORGE,SC R2 BY ADV. SRI.P.K.ABOOBACKER THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16/06/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: sts WP(C)NO.7773/2011 APPENDIX PETITIONER'S EXHIBITS: P1 COPY OF THE SALE DEED NO.113 OF S.R.O., PANAVALLY DATED 10/1/2008. P2 COPY OF THE BASIC TAX RECEIPT FOR THE YEAR 2010-2011. P3 COPY OF THE COMPLAINT UNDER SECTION 156(3) OF CR.P.C. BEFORE THE JUDICIAL FIRST CLASS MAGISTRATE COURT, CHERTHALA ON 17/5/2010 BY THE PETITIONER. P4 COPY OF THE LETTER DATED 20/5/2010 RECEIVED BY PETITIONER FROM 1ST RESPONDENT. P5 COPY OF THE NOTICE UNDER SECTION 14 OF THE SARFAESI ACT DATED 9/3/2011 SERVED TO THE PETITIONER BY THE ADVOCATE COMMISSIONER DEPUTED BY CHIEF JUDICIAL MAGISTRATE COURT, ALAPPUZHA. RESPONDENT'S EXHIBITS: NIL /TRUE COPY/ P.A.TO.JUDGE sts C.K.ABDUL REHIM, J. ------------------------------- W.P.(C).No. 7773 of 2011 ------------------------------- Dated this the 16th day of June, 2011. J U D G M E N T Petitioner is challenging steps initiated by the 1st respondent Bank under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) and Ext.P5 consequent notice issued by the Advocate Commissioner appointed by the Chief Judicial Magistrate Court in exercise of powers under Section 14(1) of the said Act. 2. Claim of the petitioner is that, he had purchased the property in question, which is now being proceeded against, from the 2nd respondent for valuable consideration. It is evident that before transfer of the property by the 2nd respondent, a valid mortgage was created in favour of the 1st respondent. Therefore, I find no reason to restrain the 1st respondent from being proceeded against the property in question, which is the secured asset, as far as the loan transaction is concerned. 2 W.P.(C).No. 7773 of 2011 3. It is brought to my notice by learned counsel for the 1st respondent Bank that the 2nd respondent had already approached this Court challenging the proceedings initiated under the SARFAESI Act, in W.P.(C)No.2506/2011 and the said writ petition was disposed of on 28.2.2011 granting relief to the extent of permitting payment of the entire balance in 8 equal monthly instalments commencing from 31.3.2011. But he had failed to pay the amounts as stipulated. 4. Under the above mentioned circumstances, it is left open to the petitioner to compel the 2nd respondent to comply with the conditions stipulated in the judgment mentioned above. It will be also left open to the petitioner to pay off the liability, if he is making earnest attempt to save the property from being sold. 5. It is stated that pursuant to an interim order issued by this Court on 11.3.2011, the petitioner had already deposited a sum of Rs.2,50,000/- towards the loan account. Needless to say that, the 1st respondent shall give credit of 3 W.P.(C).No. 7773 of 2011 such payments, against the arrears due under the loan account. 6. The writ petition is accordingly dismissed, reserving liberty to the petitioner to take steps to pay off the liability and also to take appropriate steps against the 2nd respondent for recovery of such amounts. C.K.ABDUL REHIM, Judge ami/