IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON TUESDAY, THE 10TH AUGUST 2010 / 19TH SRAVANA 1932 WP(C).No. 13514 of 2010(L) -------------------------- PETITIONERS: --------------- 1. SMT.PREEJI ROJO, AGED 30 YEARS, W/O.ROJO JOSE, KUNIYANTHODATHU HOUSE, THURITHIPURAM, MOOTHAKUNNAM.P.O., NORTH PARAVOOR, ERNAKULAM DISTRICT. 2. MR.ROJO JOSE, KUNIYANTHODATHU HOUSE, THURITHIPURAM, MOOTHAKUNNAM.P.O., NORTH PARAVOOR, ERNAKULAM DISTRICT. 3. MR.K.V.JOSE, KUNIYANTHODATHU HOUSE, THURITHIPURAM, MOOTHAKUNNAM.P.O., NORTH PARAVOOR, ERNAKULAM DISTRICT. 4. ROSILY JOSE, KUNIYANTHODATHU HOUSE, THURITHIPURAM, MOOTHAKUNNAM.P.O., NORTH PARAVOOR, ERNAKULAM DISTRICT. BY ADV. SMT.JEENA JOSEPH RESPONDENT: --------------- THE HDFC BANK LTD., S.L.PLAZA, PALARIVATTOM, COCHIN-682025, REPRESENTED BY THE BRANCH MANAGER. ADV. SRI.T.RAJESH, SC, HDFC BANK LTD. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 10/08/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 13514 of 2010(L) APPENDIX --------------- PETITIONER'S EXHIBITS ----------------------------------- P1:- A TRUE PHOTOCOPY OF THE LETTER DT.29.6.07 ISSUED BY THE RESPONDENT BANK. P2:- A TRUE PHOTOCOPY OF THE REPAYMENT SCHEDULE SANCTIONED BY THE RESPONDENT BANK ON 7.4.08. P3:- A TRUE PHOTOCOPY O THE RECEIPTS ISSUED BY THE RESPONDENT BANK ON THE PAYMENT OF DUES DT.19.12.09 P3(a):- A TRUE PHOTOCOPY OF THE RECEIPTS ISSUED BY THE RESPONDENT BANK ON THE PAYMENT OF DUES DT.19.12.09. P4:- A TRUE PHOTOCOPY OF THE NOTICE ISSUED UNDER SERFEACI ACT BY THE BANK DT.12.04.2010. P5:- A TRUE PHOTOCOPY OF THE PAPER PUBLICATIONN DT.12.4.10 PUBLISHED ON DESHABHIMANI DAILY 17.4.10 RESPONDENT'S EXHIBITS ------------------------------------- R1(a):- A TRUE COPY OF THE NOTICE PUBLISHED IN INDIAN EXPRESS DT.17.4.10. R1(b):- A TRUE COPY OF THE BILL ISSUED BY THE ADVERTISING AGENCY FOR PUBLISHING EXT.R1(a) DT.17.4.10 R1(c):- A TRUE COPY OF THE BILL ISSUED FOR MAKING THE ADVERTISEMENT. R1(d):- A TRUE COPY OF THE STATEMENTS OF ACCOUNTS PERTAINING TO THE LOAN AS ON 1.7.10 //TRUE COPY// PA TO JUDGE. P.R.RAMACHANDRA MENON, J -------------------------------------------- WP(C) NO. 13514 OF 2010 -------------------------------------------- Dated this the 10th day of August, 2010 JUDGMENT The petitioner is challenging the correctness and sustainability of the steps taken by the respondent Bank resorting to the remedy under the SARFAESI Act for realization of the amount stated as due under a loan transaction. Many a ground has been raised in the Writ Petition, legal as well as factual. The respondents have filed statement/counter affidavit producing copies of the relevant documents, rebutting the averments and allegations, stating that absolutely no interference is warranted. 2. The learned counsel for the respondent Bank submits that much leniency had already been shown to the petitioner and the loan account was regularized earlier; despite which the petitioner did not try to keep the word. It was in the said circumstance, that the Bank constrained to proceed with further steps, which does not call for any interference. The learned counsel also brought it to the notice of this Court that much expenditure has already been incurred by the Bank in connection with the paper publication and such other incidental expenses. It is stated that the amount 1,22,595/- is still in arrears as 'overdue' amount and other incidental expenses and that, unless and until the said amount is cleared by the petitioner, the question of regularization is not liable to be 2 WP(C) No. 13514/2010 entertained. 3. The learned counsel for the petitioner submits that the default was never wilful but because of some unforeseen circumstances; that earnest efforts have already been taken to clear the 'overdue' amount within one month and that the petitioner might be given one more opportunity to have the loan account regularized. 4. Considering the particular facts and circumstances, the petitioner is permitted to clear the entire overdue amount and expenses within 'one month' from the date of receipt of a copy of this judgment, on which event, the loan account will stand regularized. This will be in addition to the liability of the petitioner to satisfy the regular EMIs as well. Subject to this, the recovery proceedings shall be kept in abeyance for the time being. It is also made clear that if any default is made with regard to the payment of overdue amount as above, or if any two consecutive defaults are made with regard to the EMIs, the respondents will be at liberty to proceed with further steps for realization of the entire amount in a lump sum. The Writ Petition is disposed of accordingly. P.R.RAMACHANDRA MENON JUDGE dnc