IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.N.RAVINDRAN THURSDAY, THE 14TH JULY 2011 / 23RD ASHADHA 1933 WP(C).No. 17818 of 2011(B) --------------------------------------- PETITIONER: ------------------- KUNHIMOHAMED.V., AGED 75 YEARS, S/O.LATE MOIDEEN KUTTY, VAZHAYIL HOUSE, KUTTAMAKKAL, TRIPANGOT DESOM, MANGALAM P.O., TIRUR TALUK, MALAPPURAM DISTRICT. BY ADV. SRI.P.K.MOHAMED JAMEEL. RESPONDENTS: ------------------------ 1. ASSISTANT REGISTRAR, CO-OPERATIVE SOCIETIES (GENERAL) TIRUR, MALAPPURAM DISTRICT – 642 001. 2. SPECIAL SALE OFFICER, PARAPPANANGADI, KONDOTTY, PONNANI, HOUSING CO-OPERATIVE SOCIETIES GROUP O/O.ASSISTANT REGISTRAR (GENERAL), TIRUR – 642 436. 3. THE PARAPPANANGADI REGIONAL HOUSING CO-OP.SOCIETY LTD.,REP.BY ITS SECRETARY PARAPPANANGADI P.O., MALAPPURAM DISTRICT, PIN-642 439. R1 & R2 BY SR. GOVT. PLEADER SRI. S.ABDUL SALAM, R3 BY ADVS. SRI.V.RAJENDRAN, SMT.A.S.BEENU. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 14/07/2011,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C). NO.17818/2011-B: APPENDIX PETITIONERS' EXHIBITS: EXT.P.1: SALE CERTIFICATE DTD. 30/06/2010. EXT.P.2: COPY OF THE RELEVANT PAGES OF PASS BOOK. EXT.P.3: COPIES OF THE RECEIPT ISSUED BY THE RESPONDENT EVIDENCING THE PAYMENTS MADE BY PETITIONER. RESPONDENTS' EXHIBITS: NIL. //TRUE COPY// P.A. TO JUDGE. Prv. P.N. RAVINDRAN, J. ------------------------------- W.P.(C) No.17818 of 2011 ------------------------------- Dated this the 14th day of July, 2011 J U D G M E N T The petitioner availed a loan of Rs.1 lakh from the third respondent bank in the year 2002. When he defaulted repayment, the bank filed A.R.C.No.1172 of 2008 before the Arbitrator. The Arbitrator passed an award on 29.10.2008. The award has attained finality. Even thereafter, the petitioner did not repay the loan. The third respondent bank thereupon took steps to execute the awad. In execution of the award, an item of the property mortgaged by the petitioner was brought to sale for realisation of the sum of Rs.1,51,500/- due as on the date of sale, viz., 15.3.2010. Since the petitioner did not repay the loan before the sale was held, the property was sold on 15.3.2010 and was purchased by the bank itself for the sum of Rs.1,51,500/-. The petitioner did not even thereafter deposit the amount due from him or apply to have the sale set aside. Thereupon by Ext.P1 proceedings dated 30.6.2010, the Assistant Registrar of Co-operative Societies (General), Tirur confirmed the sale. A sale certificate was also issued in favour of the bank. This writ petition was filed a year later on 30.6.2011, challenging Ext.P1 sale confirmation order and sale certificate. It is contended that the W.P.(C) No.17818 of 2011 2 petitioner had already remitted the sum of Rs.97,000/- towards the loan and therefore the sale and its confirmation are liable to be set aside. When the writ petition came up for hearing today, the learned counsel for the petitioner submitted that the petitioner needs only a reasonable time to pay the amount due to the third respondent and that he may also be granted an opportunity to pay the amount due in instalments. 2. Sri.V.Rajendran, the learned standing counsel appearing for the third respondent bank submitted on instructions that as on 30.6.2011, the sum of Rs.1,97,516/- was due from the petitioner and the bank has no objection to the sale being set aside and the sale certificate being cancelled on the petitioner paying the said amount in instalments together with future interest on the amount due as on 30.6.2011 and a sum equal to 5% of the bid amount. The learned counsel for the petitioner submitted that the petitioner will pay the sum of Rs.30,000/- within one month from today and the balance amount in four equal monthly instalments. 3. In the light of the said submissions, I dispose of the writ petition with the following directions:- W.P.(C) No.17818 of 2011 3 The petitioner shall within one month from today deposit with the third respondent the sum of Rs.30,000/-. He shall deposit the balance amount of Rs.1,67,516/- in four equal monthly instalments namely on 1.9.2011, 1.10.2011, 1.11.2011 and 1.12.2011. Upon the petitioner depositing the amount due as directed, the bank shall inform the petitioner in writing of the balance amount payable by him by way of interest for the period from 1.7.2011 till date of deposit of the last instalment, calculated at the rate of 9% per annum after giving credit to the various payments made by the petitioner. The petitioner shall pay the said amount along with an amount equal to 5% of the purchase price of Rs.1,51,500/- without protest within one month from the date of receipt of the intimation. Upon the petitioner remitting the entire amount as directed above, the bank shall request the Assistant Registrar of Co-operative Societies to cancel Ext.P1 order confirming the sale and the sale certificate and thereupon the Assistant Registrar of Co-operative Societies (General), Tirur shall cancel the same. It is clarified that if the petitioner fails to remit any one of the instalments in the manner indicated above, this order will stand recalled and the writ petition will stand dismissed. In that W.P.(C) No.17818 of 2011 4 event, it will be open to the bank to apply for delivery of possession of the property purchased by it in accordance with law. P.N. RAVINDRAN, JUDGE. nj.