IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 6TH OCTOBER 2009 / 14TH ASWINA 1931 WP(C).No. 27101 of 2009(G) -------------------------- PETITIONER(S): --------------- SUKESAN, AGED 48 YEARS, S/O. SADANANDAN, AB HOUSE, VALIYAPADAM, VILANTHARA P.O., KOLLAM DISTRICT. BY ADVS. SRI.K.G.RADHAKRISHNAN SRI.VINEESH P.GEORGE RESPONDENT(S): --------------- 1. THE ASSISTANT GENERAL MANAGER, STATE BANK OF INDIA, 2ND FLOOR, RAVI'S ARCADE, NEAR IRON BRIDGE, KOLLAM. 2. THE AUTHORISED OFFICER, STATE BANK OF INDIA, RASMESCC, KOLLAM. BY ADV. SRI. K.K. CHANDRAN PILLAI, STANDING COUNSEL THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06/10/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: shg/ C.K. ABDUL REHIM, J - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 27101 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 6th day of October, 2009 J U D G M E N T 1. This writ petition is filed challenging the proceedings initiated by the respondents under the provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) against the immovable property offered as the security by the petitioner for availing a loan from the respondent Bank to the tune of Rs.2,82,000/-, in the year 2004. Contention of the petitioner is that he had remitted considerable amounts in the loan account. But it is admitted that repayments were not regular and the loan account was in default from the year 2006 onwards. It is contended that the property which is now proceeded against is the residential building and if it is taken over possession and sold in public auction, the petitioner will be put to severe prejudice. Eventhough it is contended that W.P.(C)No. 27101 of 2009 -2- there is dispute with respect to the amount now demanded, th learned counsel for the petitioner submitted that he is ready and willing to pay the entire liability if reasonable time is granted to effect payment in installments. 2. Heard standing counsel appearing for the respondent Bank. It is submitted that the account was treated as NPA from August 2006 onwards and the balance outstanding is Rs.3,10,000/-. Since the petitioner is a chronic defaulter the suggestion for permitting installment payment is opposed. 3. Having considered rival contentions and facts and circumstances of the case, I am inclined to show some indulgence in matter of permitting the petitioner to pay off the entire liability in installments. 4. Accordingly the Writ Petition is disposed of directing the petitioner to make payment of an amount of Rs.75,000/- on or before 31.10.2009. The respondents are directed to keep in abeyance further steps till then. On payment of the said amount the respondent Bank will W.P.(C)No. 27101 of 2009 -3- furnish a balance statement to the petitioner after crediting all such payments and after considering waiver of interest or penal interest to the possible extent. The petitioner shall continue payment of the balance amount as intimated, in five equal monthly installments starting from 30.11.2009 and on or before the last day of every succeeding month. 5. It is made clear that on the event of default in payment of any of the amount as stipulated above the respondents are free to proceed with further steps pursuant to the notices already issued and on such event the petitioner will be precluded from raising any further challenge against the proceeding initiated under the SARFAESI Act, before this court or before any other forum. C.K. ABDUL REHIM JUDGE shg/