IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON THURSDAY, THE 21ST JANUARY 2010 / 1ST MAGHA 1931 WP(C).No. 36688 of 2009(E) -------------------------- PETITIONER: --------------- MOHAMED ABOOBACKER, S/O.HUSSAIN MUSLIAR, AGED 34 YEARS, KOTHUVAL PARAMBIL HOUSE, MADIRASSERI, THRIKKANAPURAM P.O., KUTTIPURAM, MALAPPURAM DISTRICT. BY ADV. SRI.RAJESH SIVARAMANKUTTY RESPONDENTS: --------------- 1. THE FEDERAL BANK LTD., REGIONAL OFFICE, MISSION QUARTERS, THRISSUR, REP. BY AUTHORIZED OFFICER, CONSTITUTED UNDER SECURITIZATION AND RECONSTRUCTION OF FINANCIAL ASSETS AND ENFORCEMENT OF SECURITY INTEREST ACT. 2. THE FEDERAL BANK LTD., REP. BY ITS MANAGER, BAPPU HAJI BUILDING, MAIN ROAD, KUTTIPURAM, MALAPPURAM DISTRICT. BY ADV. SRI.MOHAN JACOB GEORGE, SC. ADV. SMT.P.V.PARVATHI ADV. SMT.REENA THOMAS ADV. SRI.L.RAM MOHAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21/01/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON, J. .............................................................................. W.P.(C) No. 36688 OF 2009 ......................................................................... Dated this the 21st January, 2010 J U D G M E N T The petitioner availed a housing loan from the respondent Bank in the year 2007. Since the petitioner could not satisfy the repayment by way of installments as prescribed, the Bank was constrained to issue Ext. P1 notice dated 23.11.2009 seeking to clear the overdue amount of Rs.1,17,398/-. However, the petitioner did not comply with the requirements and in the said circumstances, the Bank was proceeded with further steps, invoking the machinery under the SARFAESI Act by issuing notice under Section 13(2), which in turn is subjected to challenge in this Writ Petition, though copy of the said notice has not been produced. 2. The learned Counsel appearing for the respondent Bank, on instruction, submits that a total sum of about Rs.7.75 lakhs is due from the petitioner, so as to wipe out the entire liability W.P.(C) No. 36688 OF 2009 2 under the loan transaction. It is also submitted that after receipt of Ext.P1 notice, the petitioner had effected payment of Rs.50,000/- and after giving credit to the same, the balance is still due. The learned Counsel for the petitioner submits that the default occurred was only because of some unforeseen circumstances, including loss of employment abroad and that the petitioner is taking every earnest effort to clear the liability in respect of the overdue amount, for which some breathing time is required . 3. Considering the facts and circumstances, the petitioner is permitted to clear the 'overdue' amount by way of two equal monthly installments, the first of which shall be paid on or before 15.02.2010 and the next one shall be paid on or before 15.03.2010. Subject to the above, the revenue recovery proceedings stated as being pursued shall be kept in abeyance. This will be in addition to the liability of the petitioner to satisfy the regular monthly installments as well. If any default is committed in clearing the 'overdue' amount as above, or in the event of committing two consecutive defaults in respect of the W.P.(C) No. 36688 OF 2009 3 regular E.M.Is payable, the respondent Bank will be at liberty to proceed with further steps, from the stage where it stands now, for realization of the entire amount in a lump sum The Writ Petition is disposed of. P.R. RAMACHANDRA MENON, JUDGE. lk