IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 18TH OCTOBER 2010 / 26TH ASWINA 1932 WP(C).No. 8755 of 2010(T) --------------------------------- PETITIONER(S): ------------------------ 1. B.PREETHA KUMAR, S/O. BABU, AGED 47 YEARS, PULICKAL VEEDU, ANAYARA.P.O., KADAKOMPALLY VILLAGE, THIRUVANANTHAPURAM-605029. 2. S.SUMA, W/O. B.PREETHA KUMAR, AGED 42 YEARS, PULICKAL VEEDU, ANAYARA.P.O., KADAKOMPALLY VILLAGE,THIRUVANANTHAPURAM -605029. BY ADV. SRI.SREEKANTH S.NAIR RESPONDENT(S): ------------------------- THE FEDERAL BANK, MUTTADA BRANCH, THIRUVANANTHAPURAM, REP. BY ITS AUTHORISED OFFICER THE CHIEF MANAGER. BY ADVS. SRI.GEORGE VARGHESE (MANACHIRACKEL) SRI.K.J.CHACKOCHAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 18/10/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss C. K. ABDUL REHIM, J. =~=~=~=~=~=~=~=~=~=~=~=~=~=~=~=~= W.P.(C) No.8755 of 2010 =~=~=~=~=~=~=~=~=~=~=~=~=~=~=~=~= Dated this the 18th day of October, 2010 JUDGMENT Consequent to default committed in repayment of housing loan availed by the petitioners from the respondent Bank, proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) was initiated. Invoking section 14(1), the respondent Bank had approached the Chief Judicial Magistrate Court and steps were taken to dispossess the petitioners from the property. 2. Considering the effective alternate remedies available under the Statute, I am not inclined to entertain this writ petition on merits. 3. However, learned counsel for the petitioners submitted that the petitioners are relinquishing all challenges against the proceedings and they are not intending to pursue any statutory remedies, provided they may be permitted to regularize the account by paying the defaulted amounts within a short period. WPC (N0.8755/2010 2 4. As a gesture of indulgence, when the writ petition came up for consideration, this Court directed to maintain status quo, on condition of the petitioners making payment of a sum of Rs.2 lakhs. It is pointed out by the respondent that even the said amount was remitted only after a long lapse of time. It is further pointed out that defaulted amount itself will come around Rs.98,400/-. According to the respondent, there is chronic default in payment of the instalments and the petitioners are not in a position to discharge the liability. 5. Having considered the fact that the petitioners are relinquishing challenges against the proceedings and their rights to invoke remedies under the Statute, I am of the opinion that indulgence can be shown in permitting regularization of the account. This is especially because of the fact that the repayment period in the loan account is 15 years. 6. Under the above circumstances, the writ petition is disposed of directing the respondent to keep in abeyance dispossession of the petitioner from the property, provided WPC (N0.8755/2010 3 the petitioners remits the entire defaulted amounts (defaulted instalments along with interest and expenses if any due) in 3 (three) equal monthly instalments, falling due on or before 10-11-2010 and on or before the 10th day of the two succeeding months. 7. If the payments of defaulted amounts are regularized, as directed above, the respondent shall permit the petitioners to continue payment of future instalments, in accordance with the original schedule. 8. It is made clear that on the event of default in payment of any one of the instalments, the respondent will be at liberty to proceed with further steps pursuant to the orders already issued by the Chief Judicial Magistrate. The relief granted above is subject to the condition that the petitioners are precluded from raising any subsequent challenge in this regard either by approaching this Court or any other forum. C. K. ABDUL REHIM, JUDGE. mn.