IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM THURSDAY, THE 27TH JANUARY 2011 / 7TH MAGHA 1932 WP(C).No. 2735 of 2011(N) -------------------------------------- PETITIONER(S): ----------------------- S.JAYAMOHAN, AGED 55 YEARS, S/O. SASIDHARAN, FROM EDAMALAKUNNIL HOUSE, PUTHUMALA P.O., ADOOR TALUK, PATHANAMTHITTA DISTRICT, NOW RESIDING AT SREERANGAM, PERINGANADU P.O., ADOOR, PATHANAMTHITTA DISTRICT. BY ADV. SMT.S.L.SYLAJA RESPONDENT(S): -------------------------- 1. THE STATE BANK OF TRAVANCORE, REPRESENTED BY ITS GENERAL MANAGER, ZONAL OFFICE, POLACHIRAKKAL CHAMBERS, P.B.NO.1115, OPP. COLLECTORATE, KOTTAYAM.PIN- 686 001 2. THE BRANCH MANAGER, STATE BANK OF TRAVANCORE, PARAKODE BRANCH, PATHANAMTHITTA DISTRICT.PIN- 689 645 3. THE AUTHORIZED OFFICER (CHIEF MANAGER), STATE BANK OF TRAVANCORE, PARAKKODE BRANCH, PATHANAMTHITTA DISTRICT.PIN- 689 641 R1 TO R3 BY ADV.SRI.K.S.DILEEP, SC FOR SBT THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 27/01/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: sts C.K.ABDUL REHIM,J. ------------------------------- WP(C).NO. 2735 of 2011 --------------------------------- Dated this the 27th day of January, 2011 JUDGMENT Consequent to default committed by the petitioner in repaying a housing loan availed from the respondent Bank, proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI Act) was initiated against the immovable property, which is the secured asset with respect to the loan transaction. Ext.P1 is the notice issued by the Advocate Commissioner in exercise of the power under section 14(1) of the Act. According to the petitioner, the loan in question was availed in the year 2004 with a repayment period of 15 years and coercive steps are now being pursued without considering his request to permit regularisation of the account. 2. Considering the effective alternative remedy available under section 17(1) it is not justified on the part of this court to interdict with the proceedings at this stage. However learned counsel appearing for the petitioner submitted that the petitioner is not intending to pursue any statutory remedy and WP(C).2735/ 2011 2 he is relinquishing all challenges against the proceedings initiated under the SARFAESI Act. The limited prayer is to permit regularisation of the account by offering payment of the amount in default within a short time. 3. Learned Standing Counsel appearing for the respondents submitted that the amount in default is around Rs.3,35,000/- and the petitioner, inspite of repeated demands made, has not cared to make payment of the amount . 4. Considering the facts and circumstances as stated above, I am of the view that eventhough interference on merits is not desirable, indulgence can be shown in permitting regularisation of the account, considering the fact that the petitioner had relinquished all challenges against the proceedings. 5. Accordingly, the writ petition is disposed of directing respondents to keep in abeyance the dispossession of the immovable property, if not already dispossessed, subject to condition of the petitioner remitting the entire balance amount in default (defaulted monthly instalments along with interest and expenses, if any due) in 3 (three) equal monthly instalments falling due on or before 15.2.2011 and on or before the 15th day WP(C).2735/ 2011 3 of two succeeding months. Petitioner shall also make payment of the regular monthly instalments due for the respective months along with the above said payment. 6. If payment of the defaulted amount is regularised as directed above, respondents shall permit the petitioner to pay the regular instalments due in future in accordance with the original schedule of repayment. 7. It is made clear that on the event of default committed in payment of any one of the instalments as stipulated above, the respondents will be free to proceed with further steps on the basis of proceedings initiated before the Chief Judicial Magistrate Court and on such event the petitioner will be precluded from raising any subsequent challenge against such proceedings either before this court or before any other forum. C.K.ABDUL REHIM,JUDGE pmn/ WP(C).2735/ 2011 4