IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM THURSDAY, THE 28TH OCTOBER 2010 / 6TH KARTHIKA 1932 WP(C).No. 31962 of 2010(U) ------------------------------------------ PETITIONER(S): -------------------------- C.ARAVINDA, S/O.AMBADI PATALI, CHIGURUPADE HOUSE, CHARLA.P.O., KASARAGOD DISTRICT. BY ADVS. SRI.JACOB E SIMON, SRI.JOSEPH MATHEW (VALUMMEL). RESPONDENT(S): ---------------------------- 1. NORTH MALABAR GRAMIN BANK, N.M.G.B.TOWERS, PALLIKUNNU, KANNUR, REPRESENTED BY ITS AUTHORISED OFFICER, CHANDRASEKHARAN.K.P. 2. THE UNION OF INDIA, REPRESENTED BY THE SECRETARY (BANKING & INSURANCE), DEPARTMENT OF ECONOMIC AFFAIRS, MINISTRY OF FINANCE, PARLIAMENT STREET, NEW DELHI-110 001. R1 BY ADV. SRI. DEVAN RAMACHANDRAN, SC R2 BY ADV. SRI.T.P.M.IBRAHIM KHAN,ASST.S.G OF INDIA THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 28/10/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Kss C. K. ABDUL REHIM, J. =~=~=~=~=~=~=~=~=~=~=~=~=~=~=~=~= W.P.(C) No. 31962 of 2010 =~=~=~=~=~=~=~=~=~=~=~=~=~=~=~=~= Dated this the 28th day of October, 2010 JUDGMENT Consequent to default committed in repayment of loan availed by the petitioner from the 1st respondent bank, proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short the SARFAESI Act) was initiated against the immovable property, which was mortgaged to secure the loan. Invoking section 14(1) of the SARFAESI Act, the 1st respondent had approached the Chief Judicial Magistrate Court, Kasaragod. By virtue of order issued by that court and the Advocate Commissioner appointed had already taken over possession of the property. It is submitted that, further steps for sale of the property is being taken by the 1st respondent. 2. It is conceded by the petitioner that he has not invoked any of the statutory remedies against the proceedings initiated under the SARFAESI Act, at any stage. Since the property had already been taken over possession, the only limited prayer of W.P.(C) No. 31962/2010 2 the petitioner is to permit him to pay off the entire liability within a short period, in order to save the property from being sold. 3. It is submitted by learned counsel for the petitioner that the petitioner is relinquishing all challenges against the proceedings and that he is not not intending to resort to any of the remedies available under the Statute. Learned counsel for the 1st respondent submitted that the total arrears outstanding will be around Rs.2,50,000/-. Considering the facts and circumstances, I am of the view that indulgence can be shown to the petitioner in permitting to pay off the entire amounts with a view to save the property from being sold. 4. Therefore, the writ petition is disposed of directing the 1st respondent to keep in abeyance all further proceedings for sale of the immovable property, provided the petitioner remits the entire balance outstanding, along with future interest if any due, in 3 (three) equal monthly instalments, falling due on or before 30-11-2010 and on or before the last day of succeeding months. 5. It is also directed that on payment of 1st instalment, the W.P.(C) No. 31962/2010 3 1st respondent will permit the petitioner to re-occupy the building situated in the property for the purpose of residence of himself and his family members, subject to legal possession being retained by the 1st respondent. 6. It is made clear that on the event of default in payment of any of the instalments, the 1st respondent will be at liberty to evict the petitioner without recourse to any procedure under law, if necessary, with the held of police authorities, having jurisdiction over the local area. In case of such default, the petitioner is at an obligation to surrender vacant possession without raising any dispute. 7. It is further made clear that on such event, the 1st respondent will be at liberty to proceed with sale of the property and on such event the petitioner will be precluded from raising any subsequent challenge against such proceedings. C. K. ABDUL REHIM, JUDGE. mn.