IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN FRIDAY, THE 22ND AUGUST 2008 / 31ST SRAVANA 1930 WP(C).No. 21838 of 2008(Y) -------------------------- PETITIONER: ------------ 1. M/S.CRYSTAL ORCHID HANDICRAFTS PRIVATE LTD., PETER CELLIE STREET, KOCHI - 682 001 REPRESENTED BY ITS DIRECTOR V.G.THOMAS. 2. V.G.THOMAS, 2/6A, KALVATHI ROAD, KOCHI - 682 001. BY ADV. SRI.P.B.SURESH KUMAR RESPONDENTS: ------------- 1. STATE BANK OF INDIA, REPRESENTED BY ITS ASSISTANT GENERAL MANAGER, STRESSED ASSETS RESOLUTION CENTRE, M.G.ROAD, ERNAKULAM. 2. THE AUTHORISED OFFICER, STATE BANK OF INDIA, STRESSED ASSETS RESOLUTION CENTRE, M.G.ROAD, ERNAKULAM. 3. THE MANAGER, STATE BANK OF INDIA, S.S.I.BRANCH, VYTTILA, ERNAKULAM. BY SHRI.P.GOPINATHA MENON, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22/08/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: S.SIRI JAGAN, J. ================== W.P.(C).No.21838 OF 2008 ================== Dated this the 22nd day of August, 2008 J U D G M E N T The petitioners are defaulters in repayment of loan amounts due from them to the State Bank of India. The bank has initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, for coercive recovery, which is under challenge in this writ petition. The petitioners do not dispute the liability to pay or the quantum. On 7.8.2008 I directed the standing counsel for the bank to obtain instructions as to what would be the total amount payable by the petitioners for closing the loan account. Today, the learned Standing Counsel submits that as on 15.8.2008, the total amount due would be Rs.55,48,926/-. Although the petitioners contend that the same is the actual amount due without any reduction in interest or any other amounts, the petitioners are prepared to pay the amount in instalments. 2. The prayer of the petitioners is opposed by the standing counsel for the Bank. w.p.c.21838/08 2 3. After hearing both sides, I feel that a lenient attitude can be taken in the matter to enable the petitioners to pay off the amounts in instalments on conditions. Accordingly, this writ petition is disposed of as follows: The petitioners shall pay an amount of Rs.20 lakhs within 15 days. The balance amount shall be paid in three equal monthly instalments on 1.11.2008, 1.12.2008 and 1.1.2009. If the petitioners pay the instalments in time, coercive proceedings shall be kept in abeyance. However, if the petitioners commit default in payment of the instalments, it would be open to the respondents to continue the proceedings as now initiated without having to issue any fresh notice or proceedings in that regard. I make it clear that in respect of payments, the petitioners would be liable to pay interest also from 15.8.2008. Sd/- sdk+ S.SIRI JAGAN, JUDGE ///True copy/// P.A. to Judge w.p.c.21838/08 3