IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 16TH FEBRUARY 2011 / 27TH MAGHA 1932 WP(C).No. 4100 of 2011(J) ------------------------- PETITIONER(S): --------------- 1. MATHEW KOSHY,S/O.KOSHY,RESIDING AT KODIYATHU WEST MITCHEL JUNCTION,OPP.UNION BANK, MAVELIKKARA THROUGH HIS POWER OF ATTORNEY TERANCE MATHEW KOSHY. 2. MARIYAMMA.K.C,AGED 55 YEARS,W/O.MATHEW KOSHY,RESIDING AT KODIYATHU WEST MITCHEL JUNCTION, OPP.UNION BANK,MAVELIKKARA. BY ADV. SRI.A.SHAFEEK (KAYAMKULAM) RESPONDENT(S): --------------- 1. ICICI BANK LTD.,DELMA COMPLEX,SHORNUR ROAD,THRISSUR-680 001,REPRESENTED BY ITS REGIONAL MANAGER. 2. THE MANAGER,ICICI BANK LTD.,KOTTAYAM, PIN-686001. 3. THE AUTHORISED OFFICER,ICICI BANK LTD., ABAN ARCADE,T.K.ROAD,PATHANAMTHITTA,PIN-689645. BY ADV. SRI.K..K.M SHERIF - SC ADV. SRI.LAL K.JOSEPH FOR R1,2 SRI.A.A.ZIYAD RAHMAN FOR R1,2 SRI.V.R.REKESH FOR R1,2 THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16/02/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J --------------------------------------- W.P(C) No.4100 of 2011-J ---------------------------------------- Dated this the 16th day of February, 2011. J U D G M E N T Eventhough the challenge is only against a notice issued under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act), learned counsel for the petitioners undertook that the petitioners are not intending to pursue any challenges nor they are intending to invoke any statutory remedy. On the other hand a limited prayer is made to permit regularisation of the account by offering payment of the overdue amounts, within a short period. 2. Counsel appearing for the respondent Bank submits that the overdue amount itself will come to Rs.5,81,539/-. Since the account is in chronic default, the respondents are not favouring regularisation of the account. 3. However, considering the fact that the petitioners have relinquished all challenges raised, I take note of the W.P(C) No.4100 of 2011-J 2 guidelines issued by the Reserve Bank of India, which is having statutory force, to the effect that once the arrear is paid the Bank is at an obligation to re-classify the deposit as 'performing asset'. Hence, I am inclined to grant the limited reliefs sought for, subject to incorporating appropriate safeguards on the event of future defaults. 4. Accordingly, the writ petition is disposed of directing the respondents to keep in abeyance all further coercive steps initiated pursuant to Ext.P3 notice, subject to condition of the petitioner remitting the overdue amounts (defaulted monthly instalments along with interest and expenses if any due) in 4 (four) equal monthly instalments, falling due on or before 15.3.2011 and on before the 15th day of succeeding months, along with payment of the regular monthly insalments due for the respective months. 5. If payment of the amounts in default is regularised as directed above, the respondents shall permit the petitioners to continue payments of future monthly instalments in accordance with the original schedule of W.P(C) No.4100 of 2011-J 3 repayment. 6. It is made clear that on the event of default in payment of any of the instalments as stipulated above or any future monthly instalments, the respondents will be free to proceed with further steps. It is further made clear that the above relief is granted subject to condition that the petitioners are precluded from raising any subsequent challenge against the recovery proceedings. C.K.ABDUL REHIM JUDGE ab W.P(C) No.4100 of 2011-J 4