IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN MONDAY, THE 13TH OCTOBER 2008 / 21ST ASWINA 1930 WP(C).No. 28953 of 2008(V) -------------------------- PETITIONER(S): --------------- ABDUL RASHEED.M, KANDATHIL VEEDU, KADAPPA, MYNAGAPALLY P.O., KARUNAGAPPALLY, KOLLAM. BY ADV. SRI.JOHN BRITTO SRI.C.A.RAJEEV RESPONDENT(S): --------------- 1. STATE BANK OF TRAVANCORE, KARUNAGAPPALLY BRANCH, KOLLAM REPRESENTED BY ITS CHIEF MANAGER AND AUTHORISED OFFICER. 2. THE BRANCH MANAGER, STATE BANK OF TRAVANCORE, KARUNAGAPPALLY BRANCH, KOLLAM. BY ADV.SRI.R.S.KALKURA, S.C. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13/10/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: THOTTATHIL B.RADHAKRISHNAN, J. ------------------------------------------- W.P(C).No.28953 OF 2008 ------------------------------------------- Dated this the 13th day of October, 2008 JUDGMENT The petitioner availed a housing loan of Rs.8,00,000/- in 2006 and defaulted repayment. The account having been classified as NPA, there is no jurisdictional error or legal infirmity in having initiated proceedings under the SARFAESI Act. The petitioner has, however, remitted an amount of Rs.50,000/- following the interim order and has also made payments which, according to him, would be sufficient to treat that the entire defaulted EMIs have been paid. However, the Bank cannot be compelled to regularise the transaction which having been classified as NPA. Having regard to the totality of the facts and circumstances and having heard learned counsel for parties, this writ petition is ordered, rejecting all other contentions, directing that if the petitioner remits amounts at the rate of Rs.20,000/- per month, payable on or before the last working day of every month commencing from October, 2008, the impugned distress action will be withheld. However, if there WPC.28953/08 Page numbers is default in remitting any of the instalments as aforesaid, the benefit of this judgment shall stand recalled automatically and the Bank will be at liberty to proceed with distress action. Sd/- THOTTATHIL B.RADHAKRISHNAN, Judge kkb.