IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN FRIDAY, THE 23RD SEPTEMBER 2011 / 1ST ASWINA 1933 WP(C).No. 25282 of 2011(I) ----------------------- PETITIONER(S): --------------- SHEEJA,W/O. NAZIMUDEEN, JABBAR BUILDING, PUTHUVAL PURAYIDAM, CANTONMENT SOUTH, KOLLAM DISTRICT. BY ADVS. SRI.C.RAJENDRAN SMT.R.S.SREEVIDYA RESPONDENT(S): -------------------------- 1. THE STATE BANK OF TRAVANCORE, STRESSED ASSETS RESOLUTION CENTRE (SARC), REGIONAL OFFICE, KADAPPAKKADA, KOLLAM. REPRESENTED BY ITS CHIEF MANAGER, PIN - 691 008. 2. NAJIMA SHIHAB, W/O. SHIHABUDEEN, G.M.J. AUTOMOBILES, CANTONMENT SOUTH, KOLLAM. RESIDING AT EZHUTHILIL PUTHEN VEEDU, PATTATHANAM.P.O., KOLLAM DISTRICT - 691 008. 3. LATHEEFA BEEVI, W/O. ABDUL JALEEL, PROPRIETRESS, SHEENA BAKERS, CANTONMENT SOUTH, KOLLAM DISTRICT. RESIDING AT PUTHUVAL PURAYIDAM, CANTONMENT SOUTH, KOLLAM DISTRICT - 691 001. R1 BY ADV. SRI. R.S. KALKURA, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23/09/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Mn ...2/- WP(C).No. 25282 of 2011(I) APPENDIX PETITIONER'S EXHIBITS: EXT.P1 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF SEPTEMBER 2007. EXT.P2 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF OCTOBER 2007. EXT.P3 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF NOVEMBER 2007. EXT.P4 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF DECEMBER 2007. EXT.P5 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF JANUARY 2008. EXT.P6 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF FEBRUARY 2008. EXT.P7 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF MARCH 2008. EXT.P8 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF APRIL 2008. EXT.P9 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF MAY 2008. EXT.P10 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF JUNE 2008. EXT.P11 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF JULY 2008. EXT.P12 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF AUGUST 2008. EXT.P13 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF SEPTEMBER 2008. EXT.P14 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF OCTOBER 2008. EXT.P15 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF NOVEMBER 2008. EXT.P16 : PHOTOCOPY OF THE DAILY COLLECTION RECEIPT OF DECEMBER 2008. EXT.P17 : PHOTOCOPY OF THE NOTICE ISSUED TO THE 2ND RESPONDENT DATED 16/02/2011. ...4/- WP(C).No. 25282 of 2011(I) EXT.P18 : PHOTOCOPY OF THE NOTICE ISSUED TO THE 3RD RESPONDENT DATED 16/02/2011. EXT.P19 : PHOTOCOPY OF THE NOTICE DATED 16/08/2011. EXT.P20 : PHOTOCOPY OF THE NOTICE ADDRESSED TO THE PETITIONER DATED 24/08/2011. RESPONDENT'S EXHIBITS - NIL //TRUE COPY// P.A. TO JUDGE Mn S. SIRI JAGAN, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No.25282 of 2011 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 23rd day of September, 2011 J U D G M E N T The petitioner is aggrieved by the proceedings initiated by the 1st respondent under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) for recovery of loan amounts due from respondents 2 & 3 to the 1st respondent for repayment of which, the petitioner was a surety. The petitioner does not dispute the liability to pay or the quantum. The petitioner only wants some time to pay off the amounts. 2. The learned standing counsel for the Bank submits that, apart from being a surety for two loans, the petitioner herself is a borrower for two other loans. While opposing the prayers of the petitioner, the counsel for the Bank submits that, even if this Court is inclined to grant time for payment of the amounts due, that shall be on condition that the petitioner pays the amounts due in W.P.(C)No.25282 of 2011 -2- respect of all the four loans. 3. Having heard both sides, I dispose of this writ petition with the following directions: The petitioner shall pay all amounts due under all four loans in 5 (five) equal monthly installments starting from 01.11.2011. Every subsequent instalment shall be paid on the first working day of every succeeding month. If the petitioner pays the instalments on due dates without default, further proceedings under the Act shall be kept in abeyance. However, if the petitioner commits default in payment of any one of the instalments, it would be open to the 1st respondent to continue proceedings as now initiated without having to issue any fresh notice or proceedings in that regard. If the petitioner wants benefit of One Time Settlement Scheme, it would be open to the petitioner to approach the Bank for the same, which the Bank shall consider in accordance with the policies and guidelines applicable to the Bank. However, I make it clear that, if the petitioner W.P.(C)No.25282 of 2011 -3- chooses to avail of the benefit under the One Time Settlement Scheme, the amounts shall be paid in accordance with the orders to be passed by the 1st respondent in respect of the same, in which event, the petitioner will not be eligible for the installment facility as directed above. The petitioner shall file an application for One Time Settlement within two weeks and the Bank shall consider and pass orders on the same within another two weeks. Sd/- S. SIRI JAGAN JUDGE //True copy// P.A. TO JUDGE shg/