IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON THURSDAY, THE 8TH JULY 2010 / 17TH ASHADHA 1932 WP(C).No. 19325 of 2010(M) -------------------------- PETITIONER: --------------- MOHAMMED K.,AGED 39 YEARS, S/O.KUNHIMAHINKUTTY HAJI, KANDANADUKKAM HOUSE, BALLUR P.O., KASARAGOD DISTRICT. BY ADV. MR. SURESH KUMAR KODOTH RESPONDENTS: --------------- 1. THE KASARAGOD DISTRICT CO-OPERATIVE BANK,REPRESENTED BY ITS GENERAL MANAGER, HEAD OFFICE, NAYAKS ROAD, KASARGOD. 2. AUTHORISED OFFICER, (PA TO PRESIDENT)KASARAGOD DISTRICT CO-OPERATIVE BANK, HEAD OFFICE, NAYAKS ROAD, KASARGOD. ADV. MR. M.SASINDRAN,SC,KASARGOD DIST.CO.BANK THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 08/07/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON J. ~~~~~~~~~~~~~~~~~~~~~~~ W.P. (C) No. 19325 of 2010 ~~~~~~~~~~~~~~~~~~~~~~~ Dated, this the 8th day of July, 2010 JUDGMENT The petitioner availed a housing loan Rs. 2.5 lakhs from the respondent Bank in May 2006, creating security interest over the property in question. But, the repayments were not all prompt, which made the respondents to proceed with the steps under the SARFAESI Act, after declaring the account as 'NPA', which in turn is subjected to challenge in this Writ Petition. 2. The learned counsel for the petitioner submits that, the default was never wilful, but because of some unforeseen circumstances, including the hospitalization of the brother of the petitioner, incurring huge expenditure, as revealed from Ext.P1 medical report. The learned counsel further submits that, the loan availed by the petitioner pertains to 'housing sector'; that its tenure will end only in May, 2011 and that the petitioner may be permitted to clear the 'overdue' amount by way of reasonable installments and to have the loan account regularized. It is also stated that, the petitioner does not intend to avail the statutory remedy and that the limited relief pressed for is only to grant the benefit of installments. 3. The learned counsel for the respondents submits, on instructions that, the course pursued by the Bank is strictly in conformity W.P. (C) No. 19325 of 2010 : 2 : with the statutory requirements. The learned counsel further submits that, a total sum of Rs. 2,99,919/- plus further interest and expenses has to be remitted by the petitioner to wipe off the entire liability. 4. Taking note of the particular facts and circumstances and that the loan provided by the Bank is in the 'housing sector', this Court finds it fit and proper to provide some breathing time to the petitioner to wipe off the entire liability. Accordingly the petitioner is directed to deposit a sum of Rs. 50,000/ on or before the 30th of this month and balance by way of 'four' equal monthly installments; the first of which shall be effected on or before the 30th August, 2010 to be followed by similar installments to be effected on or before the 30th of the succeeding months. Subject to this, the coercive proceedings stated as being pursued against the petitioner shall be kept in abeyance, for the time being. It is made clear that, if the petitioner commits any default in clearing the liability as above, the respondents will be at liberty to proceed with further steps for realization of the entire amount in lump sum. The Writ Petition is disposed of accordingly P. R. RAMACHANDRA MENON, JUDGE kmd