IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM THURSDAY, THE 10TH DECEMBER 2009 / 19TH AGRAHAYANA 1931 WP(C).No. 34849 of 2009(A) -------------------------- PETITIONER(S): --------------- K.A.GOPINATHAN, ADVOCATE, GOKULAM, P.O.CHERUPPA, KOZHIKODE. BY ADV. SRI.V.N.RAMESAN NAMBISAN RESPONDENT(S): --------------- 1. CHIEF MANAGER - SARC, STATE BANK OF TRAVANCORE, KANNUR ROAD, KOZHIKODE-1. 2. MANAGER, STATE BANK OF TRAVANCORE, KUNNAMANGALAM BRANCH, KOZHIKODE. BY ADV. SRI. R.S. KALKURA, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 10/12/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: shg/ C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 34849 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 10th day of December, 2009 J U D G M E N T 1. Petitioner is aggrieved by coercive steps initiated under the provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) against immovable property, which is the secured asset with respect to a loan transaction availed by him from the respondent Bank. It is revealed from Ext.P2 that during December, 2008 the respondent Bank permitted a compromise settlement for closure of the loan account on payment of a total sum of Rs.90,000/-. But it is admitted that, after payment of an amount of Rs.10,000/-, the petitioner defaulted. 2. Ext.P3 is the notice under Section 13 (2) wherein an amount of Rs.1,05,576/- along with interest due thereon W.P.(C)No. 34849 of 2009 -2- from 15.06.2009 was demanded. Petitioner has not raised any objection against the said notice. Respondents have resorted to remedy available under Section 14 (1) and the Advocate Commissioner appointed by the Chief Judicial Magistrate Court has now requested the petitioner to handover vacant possession of the property. I do not think any interference is warranted on the circumstances narrated above, especially in view of the fact that the statute provided an alternate remedy. 3. Having confronted with the above situation, learned counsel for the petitioner submitted that the petitioner may be given sufficient opportunity to pay off the entire liability within a reasonable time, in installments. Learned standing counsel appearing for the respondents submitted that inspite of availing the loan in the year 2004 the petitioner had repaid only a meager sum and he had not even chosen to avail the benefit of compromise settlement. Therefore the respondents are not favouring in granting any extended period for payment of the amount due. W.P.(C)No. 34849 of 2009 -3- 4. Having considered facts and circumstances of the case and the submission on both sides, I am of the opinion that some indulgence can be shown in the matter of permitting the petitioner to pay off the liability within a reasonable time in installments, eventhough I do not find any ground to interfere on merits of the case. 5. Accordingly the petitioner is directed to make payment of an amount of Rs.25,000/- (Rupees Twenty Five Thousand only) on or before 31.12.2009. The respondents are directed to keep in abeyance further coercive steps till such date. If payment is made as stipulated above, the respondents shall intimate the petitioner about the net balance outstanding, after crediting all payments made and after considering waiver of interest/penal interest and expenses to the possible extent. The petitioner shall continue payment of the balance amount so intimated along with future interests in three (3) equal monthly installments thereafter, falling due on or before 31.01.2010 and on or before the last day of the succeeding months. W.P.(C)No. 34849 of 2009 -4- 6. It is made clear that on the event of failure to pay any of the installments as stipulated as above, the Bank will be free to proceed with further steps pursuant to the notices already issued, and on any such event the petitioner will be precluded from raising any subsequent challenge against such proceedings either before this court or before any other forum. C.K. ABDUL REHIM JUDGE shg/