IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON FRIDAY, THE 9TH JULY 2010 / 18TH ASHADHA 1932 WP(C).No. 4384 of 2010(W) ------------------------- PETITIONER: --------------- JAYAN P.K., S/O.MR.KUTTAPPAN, RESIDING AT POMTHALIKUDY HOUSE, PALLIPURAM, MARAMPILLY P.O., ERNAKULAM DISTRICT. BY ADV. SRI.C.A.MAJEED SRI.K.H.ASIF RESPONDENTS: --------------- 1. UNION OF INDIA, REPRESENTED BY SECRETARY, MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NEW DELHI. 2. THE AUTHORIZED OFFICER, (CHIEF MANAGER), FEDERAL BANK, REGIONAL OFFICE, MARINE DRIVE, ERNAKULAM, COCHIN-682 031. 3. THE BRANCH MANAGER, FEDERAL BANK, KANJOOR, ALUVA, ERNAKULAM. R1 BY ADV. SRI.T.P.M.IBRAHIM KHAN,ASST.S.G OF INDIA R2 BY ADV. SRI.A.ANTONY SMT.LEELAMMA ANTONY THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 09/07/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) NO. 4384 OF 2010 APPENDIX PETITIONER'S EXHIBITS: EXT.P1 : A PHOTOCOPY OF THE NOTICE DATED 12.10.2009 ISSUED BY THE SECOND RESPONDENT EXT. P2 : A PHOTOCOPY OF THE REPLY DAT ED 02.12.2009 SUBMITTED BY THE PETITIONER. /TRUE COPY/ P.S TO JUDGE. P.R. RAMACHANDRA MENON, J. .............................................................................. W.P.(C) No. 4384 OF 2010 ......................................................................... Dated this the 9th July , 2010 J U D G M E N T The petitioner stood as a guarantor to the loan of Rs. One lakh availed by one of his relatives in the year 2002 creating security interest over the property in question. But repayment could not be effected on time, under which circumstance, the Bank proceeded with further steps to have the due amount realised by filing O.S.No.71 of 2006 before the Sub Court, N. Paravur, wherein a decree was passed enabling the respondent/decree holder to realise the due amount with interest and cost as specified. Since the petitioner did not choose to satisfy the amount, but for the futile assurance and undertaking given, the Bank proceeded with further steps, which in turn is under challenge in this Writ Petition. 2. The learned Counsel for the petitioner submits that the petitioner has filed Ext.P2 application for extending the benefit of W.P.(C) No. 4384 OF 2010 2 OTS, which hence is sought to be considered by giving appropriate directions to the respondents. 3. The learned Counsel for the respondents submits that there is no scheme for OTS as on date and that the outstanding liability is nearly 2.9 lakhs. The learned Counsel for the petitioner submits that the petitioner is not in a position to satisfy the entire amount in a lump sum and some indulgence may be shown to clear the liability by way of reasonable installments. 4. Considering the facts and circumstances, this Court finds it fit and proper to permit the petitioner to clear the liability in a phased manner; more so in view of submission that the petitioner is a daily rated workman and further that he was the guarantor to the loan transaction . 5. In the above circumstances, the petitioner is permitted to clear the outstanding liability by way of 'six' equal monthly installments, the first of which shall be effected on or before 30.07.2010, to be followed by similar installments to be effected W.P.(C) No. 4384 OF 2010 3 on or before the 30th of the succeeding months. It is made clear that if any default is committed by the petitioner in effecting the installments as above, the respondent Bank will be at liberty to proceed with further steps for realisation of the amount in a lump sum from the stage where it stands now. The Writ Petition is disposed of. P.R. RAMACHANDRA MENON, JUDGE. lk