IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 7TH JUNE 2011 / 17TH JYAISHTA 1933 WP(C).No. 7322 of 2011(M) --------------------------------- PETITIONER(S): ------------------- 1. P.RAJAGOPALAN, SAGEETHAM, EMILY, KALPETTA P.O., (NOW WORKING AS H.S.A.), G.M.R.S., POOKODE. 2. RAVEENDRAN E.N., ERAKUNNATH HOUSE, THENERI, KAKKAVAYAL P.O., (NOW WORKING AS H.S.A.), G.H.S.S., KAKKAVAYAL. 3. K.MOHAMMED SHA, KAITHAPPALLY HOUSE, MUTTIL P.O., WAYANAD, (NOW WORKING AS H.S.A.), G.H.S.S. KAKKAVAYAL. 4. SOOPY KALLANGODAN, “SHABNAM”, AMBILERY, KALPETTA P.O., WAYANAD, NOW WORKING AS ADDITIONAL TAHASILDAR, VYTHIRI. 5. PADMAVATHI K., VAISHNAVAM HOUSE, PUTHOORVAYAL P.O., KOTTAVAYAL, KALPETTA, (NOW WORKING AS H.S.A.), G.H.S.S. MEPPADI. 6. SHAILAJA S., JUBILEE COTTAGE, DEVIKUNNU, AMBALAVAYAL P.O., (NOW WORKING AS H.S.A.), G.H.S.S. AMBALAVAYAL. 7. KOCHURANI VARGHESE, THATTARADI HOUSE, AMBALAVAYAL P.O., AMBALAVAYAL, (NOW WORKING AS H.S.A.), G.V.H.S.S. AMBALAVAYAL. 8. S.VIJAYAKUMARI, POURNAMI HOUSE, PUZHAMUDI P.O., ADLAIDE, KALPETTA, (NOW WORKING AS H.S.A.) G.H.S.S., KAKKAVAYAL. 9. RATHY V.K., VALAPARAMBIL HOUSE, CHAZHAR POST, THRISSUR DISTRICT, (NOW WORKING AS H.S.A.)KAKKAVAYAL. svs ...............2/-... ...2... WPC.NO.7322/2011 10. MARYAMMA CHERIAN, NELLINILKUMTHADATHIL HOUSE, VAHAVATTA P.O., WAYANAD DISTRICT,(NOW WORKING AS H.S.A.), G.H.S.S., KAKKAVAYAL. 11. VALSAMMA V.P., PADINJATTINKARA HOUSE, KAKKAVAYAL P.O., WAYANAD DISTRICT, (NOW WORKING AS H.S.A.), G.H.S.S., KAKKAVAYAL. 12. CATHERINE E.M., KOZHALIPPARAMBIL HOUSE, GRAMATHVAYAL, AMBELERI, KALPETTA, WAYANAD DISTRICT, (NOW WORKING AS H.S.A.)., G.H.S.S., MEPPADI. 13. MELANO MATHEW, POONAMKAVIL HOUSE, KAKKAVAYAL P.O., WAYANAD DISTRICT, (NOW WORKING AS H.S.A.), G.V.H.S.S., VELLARMALA. 14. T.G.SAJI, THUDUMMEL HOUSE, KUMBALERI P.O., MEENANGADI, WAYANAD - 673 591., (NOW WORKING AS H.S.A.), G.H.S.S. MEENANGADI BY ADV. SMT.CELINE JOSEPH RESPONDENT(S): --------------------- 1. KERALA STATE FINANCIAL ENTERPRISES LTD., HEAD OFFICE, THRISSUR, REPRESENTED BY ITS MANAGING DIRECTOR, PIN - 680 609. 2. THE BRANCH MANAGER, KERLA STATE FINANCIAL ENTERPRISES LTD., KOLLAM BRANCH - 691 001. 3. THE BRANCH MANAGER, KERALA STATE FINANCIAL ENTERPRISES LTD., KALPETTA BRANCH - 673 121. 4. THE DEPUTY TAHSILDAR (RR)., K.S.F.E. LTD., KALLAI BRANCH, KOZHIKODE. 5. PRAVEEN PAUL VIJAYAN, AGED 26 YEARS, S/O.INNAS VIJAYAN, NELLISSERIYIL HOUSE, KALPETTA POST, KALPETTA AMSOM AND DESOM, VYTHIRI TALUK - 673 121. 6. ADLINE PANCY PAUL, AGED 53 YEARS, W/O.INNAS VIJAYAN, NELLISSERIYIL HOUSE, KALPETTA POST, KALPETTA AMSOM AND DESOM, VYTHIRI TALUK - 673 121. svs ..............3/-... ...3... WPC.NO.7322/2011 7. INNAS VIJAYAN, AGED 56 YEARS, NELLISSERIYIL HOUSE, KALPETTA POST, KALPETTA AMSOM AND DESOM, VYTHIRI TALUK - 673 121. 8. KIRAN AGNAL VIJAYAN, S/O.INNAS VIJAYAN, KALPETTA POST, KALPETTA AMSOM AND DESOM, VYTHIRI TALUK - 673 121. R1-4 BY ADV. SRI.M.L.SAJEEVAN, SC, KSFE LTD. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 07/06/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: svs C.K.ABDUL REHIM, J. ------------------------------- W.P.(C).No.7322 of 2011 ------------------------------- Dated this the 7th day of June, 2011. J U D G M E N T Petitioners are High School Assistants working in various schools in Wayanad District. They stood as sureties for disbursal of prized chitty amounts due for payment to respondents 5 to 8, from respondents 2 and 3. In terms of the surety documents there were undertakings made by the petitioners conceding to recover the amounts from their salary, on the event of respondents 5 to 8 defaulting payment of the subscriptions. It is stated that, consequent to defaults committed by respondents 5 to 8, recovery steps were initiated by respondents 1 to 4 and notices were issued to the petitioners as evidenced from Ext.P1 series. It is also stated that prohibitory orders were issued attempting recovery of the amounts from the salary of the petitioners, on the basis of Exts.P10 to P20 notices. 2. Contention of the petitioners is that, the recovery steps were initiated without taking any effective measures to 2 W.P.(C).No.7322 of 2011 realise the amounts from the principal debtors, the respondents 5 to 8 herein. It is specifically stated that there are immovable properties belonging to respondents 5 to 8 and the amounts can be recovered by proceeding against such properties. It is also stated that the petitioners have filed different civil suits against the respective principal borrowers and orders were obtained effecting attachments of the property belonging to respondents 5 to 8, in some of the cases. Through this writ petition the petitioners are seeking direction to quash the prohibitory orders issued for recovery of the amounts and also seeking declaration to the effect that the petitioners are not liable to be proceed against for realising amounts due from respondents 5 to 8, until steps for recovery is initiated against the immovable property belonging to respondents 5 to 8. 3. In the statement filed on behalf of respondents 1 to 3 it is mentioned that, the petitioners are sureties with respect to the chitty transactions in which the respondents 5 to 8 are the subscribers. It is further stated that the 3 W.P.(C).No.7322 of 2011 principal debtors as well as the sureties have executed specific agreements undertaking to repay the amounts along with interest and other charges. It is stated that the 1st respondent Corporation is empowered to invoke remedy of recovery as provided under the Kerala Revenue Recovery Act and hence the recovery steps initiated against the petitioners are valid and sustainable. It is further stated that the petitioners are not entitled to raise contention to the effect that the principal debtors should be proceeded against for recovering the amounts, before taking any steps for realisation of the amounts from the petitioners. 4. Considering the rival contentions it is noticed that, the liability of the petitioners who are sureties with respect to the transaction, is co-extensive with that of the principal debtors. Therefore, the petitioner could not raise any successful contention that respondents 1 to 3 shall first proceed against the principal debtors or their properties, before proceeding with recovery steps against the petitioners. It is noticed that specific terms of the 4 W.P.(C).No.7322 of 2011 agreement provide remedy to respondents 1 to 3 to recover the amounts from the salaries of the sureties, in case of failure to pay the amounts by the principal debtors. Therefore, by virtue of the clear contractual obligations arising out of the terms of the agreement, the respondents 1 to 3 are entitled to take recovery steps against the petitioners. Hence, I find no reason to interfere with the matter for holding that the petitioner should be proceeded only after taking steps against the principal debtors. Therefore, the writ petition fails and the same is liable to be dismissed. 5. However, it is noticed that some of the petitioners have got orders of attachment with respect to immovable properties belonging to some of the respondents among 5 to 8. It is indicative of the fact that the principal debtors are having immovable properties. Under such circumstances, it is only desirable on the part of respondents 1 to 3 to initiate effective steps against respondents 5 to 8 by attaching and selling immovable properties if any belonging to them. 5 W.P.(C).No.7322 of 2011 Hence, respondents 1 to 3 are directed to take effective steps of recovery against respondents 5 to 8 also. 6. In the result, the writ petition is dismissed, however subject to observations contained as above. It is made clear that the petitioners will be at liberty to pursue remedies which they have already invoked before the civil courts. 7. However, it is made clear that this Court has not granted any relief restraining the recovery of the amounts from the salary of the petitioners. C.K.ABDUL REHIM, Judge ami/