IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 12TH JANUARY 2011 / 22ND POUSHA 1932 WP(C).No. 36749 of 2010(P) --------------------------------- PETITIONER(S): ------------------- 1. PREMAN.N., S/O.GOPALA KURUP, KARUVANKANDI HOUSE, KADIYANGADI P.O., PERAMBRA, KOZHIKODE DISTRICT. 2. SAVITHA, W/O.PREMAN.N., KARUVANKANDI HOUSE, KADIYANGADI P.O., PERAMBRA, KOZHIKODE DISTRICT. BY ADVS. SRI.K.B.ARUNKUMAR SRI.SATHISH PRABHU RESPONDENT(S): -------------------- 1. AIG HOME FINANCE INDIA LIMITED (FORMERLY WEIZMAN HOMES LTD.,), 1ST FLOOR, MNS AVENUE, OPP. YMCA, NEAR 4TH RAILWAY GATE, KANNUR ROAD, KOZHIKODE DISTRICT, REPRESENTED BY ITS BRANCH MANAGER - 673 001. 2. THE BRANCH MANAGER, AIG HOME FINANCE INDIA LIMITED (FORMERLY WEIZMAN HOMES LTD.,), 1ST FLOOR, MNS AVENUE, OPP. YMCA, NEAR 4TH RAILWAY GATE, KANNUR ROAD, KOZHIKODE DISTRICT - 673 001. 3. THE AUTHORISED OFFICER, (FORMERLY WEIZMAN HOMES LTD.,), 1ST FLOOR, MNS AVENUE, OPP. YMCA, NEAR 4TH RAILWAY GATE, KANNUR ROAD, KOZHIKODE DISTRICT - 673 001. R1 TO R3 BY ADV. SRI.RAJESH THOMAS, SC. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 12/01/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: svs C.K.ABDUL REHIM, J --------------------------------------- W.P(C) No.36749 of 2010-P ---------------------------------------- Dated this the 12th day of January, 2011. J U D G M E N T Consequent to default committed by the petitioners in repaying a housing loan availed from the respondent Bank, proceedings under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) was initiated and immovable property, which is secured asset, was taken over possession symbolically, on the basis of Ext.P1 notice. 2. According to the petitioners, the repayment period of the loan in question is 15 years and the coercive steps were now being pursued without considering their request for regularising the account, on the basis of an offer made for payment of defaulted instalments within a short period. Hence the petitioner seeks interference of this Court. 3. Considering the effective alternative remedy available to the petitioners under Section 17(1) of the Act, this Court was not inclined to interfere with the proceedings. However, as a gesture of indulgence, on the basis of submissions of the W.P(C) No.36749 of 2010-P 2 petitioners to make payment of the amount in default within a short time and on the basis of the submission that the petitioners are relinquishing all challenges, this Court had stayed the dispossession, subject to condition of the petitioners remitting a sum of Rs.50,000/-. It is conceded that the amount stipulated has already been paid. 4. Learned counsel appearing for the respondent Bank, on the basis of instructions, submitted that after crediting all payments, the amount in default is around Rs.36,190/-. 5. Under the above circumstances, learned counsel for the petitioners submits that the petitioners are not intending to pursue any of the statutory remedies and that they are relinquishing all challenges against the proceedings. On the other hand a limited prayer is made to permit continuance of payment in accordance with the original schedule. 6. Eventhough interference on merits is not possible, I am of the view that the limited relief sought for can be permitted, subject to condition of the petitioners clearing the default within a short time. 7. Therefore, the writ petition is disposed of directing the petitioners to make payment of the balance amount in default W.P(C) No.36749 of 2010-P 3 on or before 28.2.2011, along with payment of regular monthly instalments due for the month of February 2011. If payment of amounts in default is regularised as directed above, the respondents shall permit the petitioners to continue payment of future monthly instalments in accordance with the original schedule of repayment. 8. It is made clear that on the event of default in payment of the amount as stipulated above or any of the future instalments the respondents will be free to proceed with further steps. It is made clear that the above relief is granted subject to condition that the petitioners are precluded from raising any subsequent challenge against the proceedings. Sd/- C.K.ABDUL REHIM JUDGE //True Copy// P.A to Judge ab