IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON WEDNESDAY, THE 15TH JULY 2009 / 24TH ASHADHA 1931 WP(C).No. 19866 of 2009(C) ----------------------------------------- PETITIONER(S): ------------------------ 1. RAKHI.P., D/O.RETNAKUMAR, AGED 32 YEARS, RESIDING AT E.S.I. PUTHUVAL, SREEKRISHNA NAGAR-25, ASRAMAM POST, KOLLAM. 2. RAJATH, S/O.RETNAKUMAR, AGED 31 YEARS, DO. DO. 3. RADHAKRISHNAN.G., PROPRIETOR, MAHADEVA ELECTRONICS, NEAR E.S.I. HOSPITAL, ASRAMAM POST, KOLLAM-2. BY ADV. MR.T.M.RAMAN KARTHA RESPONDENT(S): -------------------------- 1. THE CHIEF MANAGER, RASMECCC, KOLLAM, AUTHORISED OFFICER UNDER THE SERFASI ACT 2002, THE STATE BANK OF INDIA, RASMECCC, 2ND FLOOR, RAVI'S ARCADE, NEAR IRON BRIDGE, KOLLAM. 2. THE STATE BANK OF INDIA, CHINNAKKADA BRANCH, REP. BY ITS MANAGER. By ADV. MR.R.S.KALKURA THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 15/07/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON, J. ........................................................................ W.P.(C) No.19866 OF 2009 ......................................................................... Dated this the 15th July, 2009 J U D G M E N T The third petitioner is the principal debtor and other petitioners are guarantors in respect of the cash credit facility availed from the respondent bank in October, 2007. Contrary to the terms of the agreement, the petitioners could not remit the monthly installments on time, under which circumstance, the respondent Bank proceeded with the coercive steps under the SARFAESI Act, which, hence is sought to be intercepted by filing the present Writ Petition. 2. The learned Counsel for the petitioners submits that the default occurred was not because of any wilful laches or deliberate negligence, but only because of some unforeseen circumstances leading to collapse of business. Despite all the adverse circumstances, the learned Counsel further submits that, the petitioners are taking earnest efforts to settle the entire liability to the Bank and that they propose to approach the Bank for getting some or other concessions and to have the liability cleared under 'OTS'. 3. Heard the learned Counsel for the respondent Bank as well, who submits, on instruction, that a sum of Rs. 3.4 lakhs W.P.(C) No.19866 OF 2009 2 (approximately), till the month of March, 2009, is due from the petitioners with further interest and cost. The learned Counsel further submits that for considering the claim for 'OTS', the petitioners will have to submit appropriate representation in this regard and that they will have to prove their bonafides as well. 4. Considering the facts and circumstances, the petitioners are directed to pay a sum of Rs. One lakh within two weeks and on satisyfing the same, they will be entitled to file a petition for concessions or the benefit of 'OTS', as aforesaid. On receipt of such application, the same shall be considered and the outcome shall be conveyed to the petitioners within a further period of one month thereafter. The balance amount liable to be satisfied by the petitioners shall be paid in terms of the stipulations to be conveyed by the Bank, as aforesaid. The Writ Petition is disposed of as above. P.R. RAMACHANDRA MENON, JUDGE. lk