IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE P.S.GOPINATHAN WEDNESDAY, THE 13TH JULY 2011 / 22ND ASHADHA 1933 WP(C).No. 11896 of 2011(J) -------------------------- PETITIONER: --------------- S.SURESH CHANDRA, READER IN ENGLISH (RETIRED), SREE NARAYANA COLLEGE, KOLLAM, AGED 55 YEARS, S/O.SOMANATHAN, PADMAVATHI BHAVAN, ANJETHUKAVU, EAST MUNDAKKAL, KOLLAM DISTRICT. BY ADV. SMT.G.VIDYA RESPONDENT(S): --------------- 1. THE ACCOUNTANT GENERAL, THIRUVANANTHAPURAM. 2. THE DIRECTOR, DIRECTORATE OF COLLEGIATE EDUCATION, VIKAS BHAVAN, THIRUVANANTHAPURAM. 3. THE DEPUTY DIRECTOR, DIRECTORATE OF COLLEGIATE EDUCATION, KOLLAM. 4. THE MANAGER, SREE NARAYANA COLLEGE, KOLLAM-691001. 5. THE PRINCIPAL, SREE NARAYANA COLLEGE, KOLLAM-691001. G.P. SRI.GEORGE MECHERIL FOR R1 TO R3 ADV. SRI.A.N.RAJAN BABU FOR R4,5 SRI.P.GOPALAKRISHNAN (MVA) THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ALONG WITH W.A. NO.957/2011 ON 13/07/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: APPENDIX (WPC 11896/2011) PETITIONER'S EXHIBITS: P1: TRUE COPY OF ORDER NO.2/SNT/3329/DT.24.2.2010. RESPONDENT'S EXHIBITS: R5(a): TRUE COPY OF LETTER DT.29.3.2010. R5(b): TRUE COPY OF ORDER DT.24.2.2010. R5(c): TRUE COPY OF LETTER DT.13.6.2011. R5(d): TRUE COPY OF LETTER DT.3.6.2011. R5(e): TRUE COPY OF PETITIONERS LIST OF DAYS HE WAS ON LOSS OF PAY. R5(f): TRUE COPY OF STATEMENT SHOWING DETAILS OF LEAVE AVAILED BY PETITIONER. TRUE COPY P.S. TO JUDGE C.N.RAMACHANDRAN NAIR & P.S.GOPINATHAN, JJ. .................................................................... Writ Appeal No.957 of 2011 & W.P.(C) No.11896 of 2011 .................................................................... Dated this the 13th day of July, 2011. JUDGMENT Ramachandran Nair, J. The petitioner in the W.P.(C) is the first appellant in the Writ Appeal wherein second appellant is his wife. Petitioner after serving the S.N. College, Kollam, took voluntary retirement and is awaiting to get his terminal benefits. The W.P.(C) is filed for direction to the respondents to release retirement benefits. So far as the Writ Appeal is concerned, challenge raised by the appellants is against Union Bank against recovery of arrears of house building loan granted to them. Admittedly the appellants are chronic defaulters and even though they have obtained a judgment from this court granting them facility to clear the accrued arrears in instalments, they have committed default which led to the Bank taking coercive steps including repossession and sale of the property. We have heard counsel appearing for the petitioner/appellants, counsel appearing for the S.N. College and WA 957 & WPC 11896/11 2 Standing Counsel appearing for the Union Bank. 2. The Bank's counsel submitted that the accrued arrears as on 31.12.2010 is Rs.7.87 lakhs and along with it interest is payable on the said amount for subsequent period until payment. Since securitisation proceedings are initiated, the Bank has a claim for reimbursement of actual costs incurred such as advertisement charges, fee paid for the proceedings before the Magistrate etc. 3. Counsel appearing for the college management submitted that under interim orders issued by this court the petitioner has given Rs.1 lakh. According to him, delay in forwarding pension papers to the Accountant General is attributable to the petitioner, who after presenting the papers has requested the management to withhold the same for fixation of his salary under the UGC Scheme. The Bank's case is that since the petitioner is a chronic defaulter, the Bank is entitled to proceed for recovery under the Securitisation Act. Even though we do not find anything wrong in the Bank proceeding for recovery, we feel petitioner is entitled to relief because with the retirement benefits petitioner will be able to clear the entire arrears at a stroke which is only around Rs.8 lakhs, whereas petitioner may be WA 957 & WPC 11896/11 3 getting more than Rs.20 to 25 lakhs towards terminal benefits. In the circumstances, we dispose of the W.P.(C) and the Writ Appeal with the following directions: (i) There will be direction to the college management to forward the pension papers of the petitioner to the Accountant General's office for clearance without any delay. If any further document is required, the petitioner shall forthwith submit the same on written request by the college management. (ii) There will be direction to the Accountant General to authorise the Treasury Officer to remit Rs.8 lakhs directly to Union Bank of India, Kottiyam Branch and the amount will be credited in petitioner/appellants' house building loan account. If there is any surplus or balance, the same will be settled between the Bank and the appellants. (iii) The Accountant General's office will authorise payment of balance amount to the petitioner without any delay and the Treasury Officer will make payment accordingly. (iv) There will be direction to the Union Bank of India to withhold all coercive and other recovery proceedings against the WA 957 & WPC 11896/11 4 appellants for recovery of arrears including dispossession for a period of three months from now on specific condition that petitioner will not withdraw the amount of Rs.8 lakhs ordered to be paid by this judgment by the Treasury Officer directly to the Union Bank of India. If there is a violation on the part of the appellants/petitioner, the Bank is free to move this court for initiating contempt action against the petitioner besides proceedings for recovery. 4. We do not want to consider petitioner's entitlement for fixation of pay and pension, which the petitioner is free to take up with the management, UGC or Government as the case may be. However, the management should do from their side whatever is required for fixation of pay and allowances which are applicable as of now. C.N.RAMACHANDRAN NAIR Judge P.S.GOPINATHAN Judge pms