IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE ANTONY DOMINIC TUESDAY, THE 8TH APRIL 2008 / 19TH CHAITHRA 1930 W.P.(C).No. 10320 of 2008(C) ---------------------------------- PETITIONERS: --------------- 1. ATTINAD GOLD SOUK PVT LTD. RAJADHANI BUILDINGS,EAST FORT, THIRUVANANTHAPURAM. 2. S.ABDUL JABBAR,S/O.SHAHUL HAMEED, AGED 54 YEARS, AMC XVII/979,ATTINGAL 695 101 BY ADV. SRI. P.B.SURESH KUMAR SRI. LEO GEORGE RESPONDENTS: ----------------- 1. DENA BANK,T.C.NO.37/1392, RAJADHANI BUILDINGS, EAST FORT, THIRUVANANTHAPURAM,REPRESENTED BY ITS MANAGER. 2. AUTHORISED OFFICER AND CHIEF MANAGER DENA BANK, THIRUVANANTHAPURAM. BY ADV. SRI.PHILIP T.VARGHESE SRI.THOMAS T.VARGHESE THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 08/04/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ANTONY DOMINIC, J. = = = = = = = = = = = = = = = W.P.(C) No. 10320 OF 2008 - C = = = = = = = = = = = = = = = Dated this the 8th day of April, 2008. J U D G M E N T The petitioner had availed of a cash credit facility from the respondent bank. The bank had, for reasons which are mentioned in the notice under Section 13(2), initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. The proceedings have reached the stage of sale and it is now scheduled on 7th of May, 2008. 2. Counsel for the petitioner submits that there was no justification for the bank in classifying the account as NPA and further action that is initiated. According to him, in terms of the prudential norms issued by the RBI and particularly the payments that were made, the account is liable to be upgraded even after it is classified as NPA. 3. Irrespective of the contentions that have been raised, counsel for the petitioner seeks to discharge the liability provided W.P.(C) No. 10320 OF 2008 - 2 - the bank is agreeable for a reasonable instalment facility being granted to the petitioner. 4. I heard the counsel appearing for the bank as well. 5. Having regard to the submissions made, I feel, ends of justice deserve that the petitioner should be given an opportunity to discharge the liability and thus avoid a distress sale of the properties that are mortgaged to the bank. 6. In view of this, I direct that the petitioner will pay Rs.50 lakhs as the first instalment before 7th of May, 2008 to which date the sale is now scheduled to take place. It is directed that the balance amount will be paid in 3 equal monthly instalments which will be paid by the petitioner on or before 7th of every succeeding month. It is clarified that subject to payment as above, further proceedings will be kept in abeyance and in case the petitioner commits default in paying any one of the instalments, the bank will be free to continue the proceedings without further notice. Writ petition is disposed of as above. ANTONY DOMINIC JUDGE jan/-