IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR WEDNESDAY, THE 9TH JANUARY 2008 / 19TH POUSHA 1929 WP(C).No. 30958 of 2005(I) -------------------------- PETITIONER: ------------ M.K.KUNJUMOHAMMED, MUKKILIPPEEDIKAYIL HOUSE, AKALAD AMSOM AND DESOM, CHAVAKKAD TALUK, THRISSUR. BY ADV. SRI.SAJEEV KUMAR K.GOPAL SRI.BINOY VASUDEVAN RESPONDENTS: ------------- 1. THE KERALA STATE FINANCIAL ENTERPRISES LIMITED, REPRESENTED BY ITS MANAGING DIRECTOR, REGISTERED OFFICE, THRISSUR. 2. THE BRANCH MANAGER, KERALA STATE FINANCIAL ENTPERISES LIMITED, VADANAPPALLY. 3. THE DEPUTY TAHSILDAR (RR), KERALA STATE FINANCIAL ENTERPRISES LIMITED P.B.NO. 510, CHEMBUKKAVU, THRISSUR DISTRICT. BY ADV. SRI.ASOK M.CHERIYAN, SC, K.S.F.E. LTD. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 09/01/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: 2 APPENDIX PETITIONER'S EXHIBITS: EXT.P1 TRUE COPY OF THE RECEIPT ISSUED BY THE THIRD RESPONDENT FOR PAYMENT OF RS. 1 LAKH. EXT.P2 TRUE COPY OF THE REPRESENTATION DATED 6.1.2004 SUBMITTED BY THE PETITIONER BEFORE THE 2ND RESPONDENT. EXT.P3 TRUE COPY OF THE JUDGMENT OF THIS HON'BLE COURT IN WPC 6353 OF 2004 DATED 25.2.2004 EXT.P4 TRUE COPY OF THE RECEIPT ISSUED BY THE THIRD RESPONDENT FOR PAYMENT OF RS. 75,000/- DATED 5.3.2004 EXT.P5 TRUE COPY OF THE RECEIPT ISSUED BY THE THIRD RESPONDENT FOR PAYMENT OF RS. 1,33,164/- DATED 30.3.2004 EXT.P6 TRUE COPY OF THE RECEIPT ISSUED BY THE THIRD RESPONDENT FOR PAYMENT OFRS. 40047/- EXT.P7 TRUE COPY OF THE NOTICE FOR SALE OF PROPERTY DATED 27.9.2005 ISSUED BY THE THIRD RESPONDENT. RESPONDENTS' EXHIBITS: ANNEXURE R1(a) TRUE COPY OF THE LETTER ISSUED BY THE BRANCH TO THE PETITIONER DATED 26.3.2004 ANNEXURE R1(b) TRUE COPY OF THE LETTER ISSUED BY THE RESPONDENT TO THE PETITIONER. TRUE COPY P.S. TO JUDGE. C.N. RAMACHANDRAN NAIR, J. -------------------------------------------- W.P.C. NO. 30958 OF 2005 -------------------------------------------- Dated this the 9th day of January, 2008 JUDGMENT Petitioner is in this Court a second round challenging recovery proceedings for recovery of arrears of loan availed by the petitioner from KSFE. This Court vide Ext.P3 judgment directed the KSFE to grant OTS benefit to the petitioner. Standing counsel for KSFE submitted that petitioner did not approach the KSFE for negotiating settlement. I do not think any negotiation is required to grant OTS benefit to the petitioner. It is upto the financial institution to offer incentives for payment within a reasonable time. O.P. is accordingly disposed of directing first respondent to give incentives such as waiver or reduction of penal interest and default interest if petitioner offers payment within a reasonable time. Petitioner is directed to inform KSFE the time within which he will pay the OTS amount exclusive of incentives for the first respondent to grant reduction and communicate the same. If the petitioner does not settle liability by 31.3.2008 respondents are free to proceed for recovery of balance amount after that date. (C.N. RAMACHANDRAN NAIR) Judge 2