IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 21ST OCTOBER 2009 / 29TH ASWINA 1931 WP(C).No. 17756 of 2009(L) -------------------------- PETITIONER(S): --------------- SUSAMMA IDICULA, MANGALATHU VEEDU, MUTHUKATTKARA MURI, NOORANADU P.O. BY ADV. SRI.P.SREEKUMAR SRI.K.S.MANU (PUNUKKONNOOR) RESPONDENT(S): --------------- 1. THE AUTHORISED OFFICER, ALAPPUZHA DISTRICT CO-OPERATIVE BANK LTD, ALAPPUZHA. 2. THE BRANCH MANAGER, ALAPPUZHA DISTRICT CO-OPERATIVE BANK LTD, NOORANADU BRANCH. ADV. SRI.P.K.VIJAYAMOHANAN FOR R1 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 21/10/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J ----------------------------------------- W.P.(C).NO. 17756 OF 2009 -------------------------------------- Dated this the 21st day of October, 2009. J U D G M E N T 1. Petitioner is a house wife who had availed a loan to the tune of Rs.1,00,000/- from the second respondent Bank. Due to various reasons repayment in the loan account could not be effected properly. Consequently the Bank initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 (SARFAESI Act). Ext. P1 is the notice issued under Section 13 (2) of the Act 2002 . According to the petitioner she had taken all earnest effort to settle the account and had approached the Bank seeking to permit payment of the amount in installments. Since the Bank had not acceded to such request, the petitioner is approaching this court. 2. In compliance with interim order issued by this court the petitioner had effected payment of an amount of Rs.50,000/-, after the institution of this writ petition. 3. In the counter affidavit filed on behalf of respondents it is stated that the repayment period of the loan was 60 months, which was already over by 29.3.2009, and there was chronic default in the loan account. W.P.(C).NO. 17756 OF 2009 2 Therefore the loan account was categorized as NDA, and an amount of Rs.1,61,161/- is due at the time when the securitisation proceedings was initiated. Learned standing counsel for the respondents submitted that after crediting payments already made, the balance at present will be about 1,12,000/-. Since the petitioner is a chronic defaulter the Bank is not favouring in permitting payments in installments. 4. Having considered facts and circumstances of the case and rival contentions on both sides, I am of the opinion that some indulgence can be shown in permitting the petitioner to pay off the entire liability in installments, eventhough interference on merit is not at all desirable in view of the effective alternative remedy available under the statute. 5. Accordingly the writ petition is disposed of directing the petitioner to make payment amount of Rs.40,000/- on or before 30.11.2009. The respondents are directed to keep in abeyance all further steps till such date. If the petitioner makes payment of the said amount, the Bank will intimate her about the total outstanding, after giving credit of all payments and after considering waiver of interest / default interest if any possible. The petitioner shall continue payment of the balance amount so intimated in 5 equal monthly installments, starting from 31.12.2009 on or before the last day of the preceding 4 months. W.P.(C).NO. 17756 OF 2009 3 5. It is made clear that if any of the amounts as stipulated above is defaulted payment, the respondent Bank will be free to take further steps pursuant to the notices already issued, and on any such event the petitioner will be precluded from raising any further challenge against the proceedings before this court or before any other forum. C.K.ABDUL REHIM, JUDGE. pm W.P.(C).NO. 17756 OF 2009 4 W.P.(C).NO. 17756 OF 2009 5