IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON WEDNESDAY, THE 31ST MARCH 2010 / 10TH CHAITHRA 1932 WP(C).No. 14082 of 2009(E) -------------------------- PETITIONERS: --------------- 1. NARAYANANKUTTY C.P., S/O. SANKUNNI, NOW RESIDING AT NANDANAM, NEAR M.L.C. ROAD, CHUNANGAD POST, OTTAPALAM TALUK. 2. SMT. SHARMILA V., W/O. NARAYANANKUTTY, NOW RESIDINGA T NANDANAM, NEAR M.L.C., ROAD, CHUNANGAD POST, OTTAPALAM TALUK. BY ADV. SMT.T.D.RAJALAKSHMI SRI.R.SREEHARI RESPONDENTS: --------------- 1. STATE BANK OF INDIA, OTTAPALAM BRANCH, MAIN ROAD, OTTAPALAM REPRESENTED BY ITS CHIEF MANAGER. 2. AUTHORISED OFFICER, STATE BANK OF INDIA, OTTAPALAM BRANCH, MAIN ROAD, OTTAPALAM. 3. THE SUB DIVISIONAL MAGISTRATE OTTAPALAM 4. THE DISTRICT MAGISTRATE, OFFICE OF THE DISTRICT COLLECTOR, CIVIL STATION, PALAKKAD. R1 AND R2 BY ADV. SRI.K.K.CHANDRAN PILLAI THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 31/03/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 14082 of 2009(E) APPENDIX PETITIONERS' EXHIBITS: EXT. P1 : TRUE COPY OF THE NOTICE ISSUED BY THE SECOND RESPONDNET DATED 07.06.2008 EXT.P2 : PHOTO COPY OF THE NOTICE ISSUED BY THE SECOND RESPONDENT DATED 18.11.2008 EXT.P3 : PHOTO COPY OF THE NOTICE DATED 10.02.2009 ISSUED BY THE 3RD RESPONDENT. /TRUE COPY/ P.S. TO JUDGE. P.R. RAMACHANDRA MENON, J. .............................................................................. W.P.(C) No. 14082 OF 2009 ......................................................................... Dated this the 31st March, 2010 J U D G M E N T The petitioners are challenging the steps taken by the respondent Bank invoking the machinery under the SARFAESI Act, raising many a ground including that the third respondent does not have any jurisdiction or competence to have entertained any application under Section 14 of the said enactment. 2. The learned Counsel for the respondent Bank on instruction submits that the entire files have now been caused to be forwarded to the 'District Magistrate' and that further proceedings are being pursued in accordance with law. It is also brought to the notice of this Court, with specific reference to paragraphs 9 and 10 of the counter affidavit, that a total sum of Rs. 4,13,264/- is overdue as on 28.02.2010 in respect of the defaulted installments and if the petitioners are ready and W.P.(C) No. 14082 OF 2009 2 willing to clear the said amount , the Bank is ready to have the loan account regularised . 3. The learned Counsel for the petitioners submits that the entire 'overdue' amount, as above will be cleared forthwith, for which some breathing time is sought for, simultaneously assuring that all other contentions raised in the Writ Petition challenging the steps taken by Bank are intended to be given a 'go bye' and further that the petitioners will continue to effect future installments without fail. 4. In the above circumstance, the petitioners are directed to clear the 'overdue' amount by way of two equal monthly installments, the first of which shall be satisfied within three weeks and the next one within three weeks thereafter. It is also made clear that the petitioners shall continue to effect the regular E.M.Is as originally stipulated, besides clearing the arrears as above. The loan will stand regularised accordingly and all coercive proceedings shall be kept in abeyance. It is further made clear that if the petitioners commit any default in remitting the overdue amounts/arrears as above or in the event of W.P.(C) No. 14082 OF 2009 3 committing two consecutive defaults in respect of the regular E.M.Is payable, the respondent Bank will be at liberty to proceed with further steps for realisation of the entire outstanding liability in a lump sum, pursuing such steps, from the stage where it stands now. The Writ Petition is disposed of. P.R. RAMACHANDRA MENON, JUDGE. lk