IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 25TH NOVEMBER 2009 / 4TH AGRAHAYANA 1931 WP(C).No. 12125 of 2009(I) ------------------------------------- PETITIONER(S): --------------------- K.V. VARAPPAN, S/O. VARU, KURUTHUKULANGARA HOUSE, ANCHERY.P.O, THRISSUR. BY ADV. MR.K.A.SREEJITH RESPONDENT(S): ------------------------- GENERAL MANAGER, THRISSUR URBAN CO-OPERATIVE BANK LTD. NO.87, MISSION QUARTERS, THRISSUR. R1 BY ADV. MR.C.D.DILEEP THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 25/11/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) NO.12125/2009 APPENDIX PETITIONER'S EXHIBITS P1:- COPY OF THE ARBITRATION AWARD NO.R/866/2000 . P2:- COPY OF THE NOTICE ISSUED BY THE RESPONDENT UNDER SECTION 13(2) OF SECURITIZATION ACT DT. 23.7.07. P3:- COPY OF THE JUDGMENT IN WPC. 27866/06. P4:- COPY OF THE NOTICE ISSUED BY THE RESPONDENT TO THE PETITIONER DTD. 20.2.09. P5:- COPY OF THE RECEIPTS OF PAYMENT EFFECTED BY THE PETITIONER TOWARDS LOAN TO THE RESPONDENT. P6:- THE STATEMENT GIVEN BY THE RESPONDENT TO THE PETITIONER. RESPONDENT'S EXHIBITS R1A:- COPY OF THE STATEMENT OF ACCOUNTS DTD. 12.8.09. R1B:- COPY OF THE STATEMENT OF ACCOUNTS DTD. 19.11.09. TRUE COPY P.A. TO JUDGE tss C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 12125 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 25th day of November, 2009 J U D G M E N T 1. Petitioner has approached this court challenging the proceedings initiated against him under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act), for realisation of amounts alleged to be due in a loan transaction availed by him from the respondent Bank. Contentions of the petitioner is that he had already remitted the entire principal amount along with interest due under the loan account. But still the proceedings is being persued on the basis of a demand with respect to penal interest and expenses. The petitioner has got serious dispute regarding correctness of such demand. 2. In the counter affidavit filed on behalf of the respondent Bank a statement of account has been furnished. Based on the statement it is contended that W.P.(C)No. 12125 of 2009 -2- exorbitant amount of expenses and other charges is added to the loan account, which according to the petitioner is not sustainable. 3. However, it is submitted that the petitioner is seeking to workout remedies before the Bank to get reduction of the penal interest and expenses and such other amounts claimed. Standing counsel appearing for the respondent Bank submitted that if the petitioner make any such approach for waiver of penal interest and other expenses, the Bank will consider the same. 4. Under the above circumstances, I am of the opinion that the writ petition can be dismissed reserving the liberty of the petitioner to approach the Bank seeking waiver of penal interest and expenses. 5. Hence, the writ petition is hereby dismissed reserving liberty of the petitioner to approach the Bank with proper representation seeking waiver of the amounts under demand. Needless to say that if any such representation is received, the respondent shall consider the same and W.P.(C)No. 12125 of 2009 -3- dispose of with due intimation to the petitioner. Payment of the balance amount will depend on such decision. C.K. ABDUL REHIM JUDGE shg/