IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 11TH OCTOBER 2010 / 19TH ASWINA 1932 WP(C).No. 31136 of 2010 (N) -------------------------- PETITIONER: --------------- MRS.NEENA TITTY HARSHAN, KURISHINKAL HOUSE,PATHIRAPPALLY PO, ALAPPUZHA. BY ADVS. SRI.R.SUNIL KUMAR SRI.A.SALINI LAL RESPONDENT: -------------------- 1. THE BRANCH MANGER, THE UNION OF INDIA, KABEER PLAZA,CCSB ROAD,MULLACKAL, ALAPPUZHA – PIN 688011. 2. THE UNION BANK OF INDIA, REP.BY ITS AUTHORIZED OFFICER, ALAPPUZHA BRANCH, PIN 688011. BY SRI.A.S.P. KURUP, SC. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 11/10/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: VK C.K.ABDUL REHIM, J --------------------------- W.P(C) No.31136 of 2010-N ---------------------------- Dated this the 11th day of October, 2010. J U D G M E N T Challenge in this writ petition is against proceedings initiated under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). Consequent to default committed by the petitioner in repayment of a loan availed from the respondents, steps were initiated against the immovable property, which is the secured asset with respect to the loan transaction. 2. Ext.P2 is the notice issued under Section 13(2) of the SARFAESI Act. According to the petitioner the housing loan in question was availed in the year 2006 with a repayment period of 15 years, and inspite of various approaches made offering payment of the defaulted amounts, the Bank is not permitting regularisation of the account and is proceeding with further coercive steps. 3. It is noticed that, as per the statute, against the demand raised under Section 13(2), the petitioner is at liberty to file objections/representations and the Bank is at an obligation to W.P(C) No.31136 of 2010-N 2 consider such objections/representations. Hence the writ petition is highly premature, since the petitioner has not resorted to such remedies. 4. However, learned counsel for the Bank submitted that the payment outstanding will come to more than Rs.1,50,000/- and if the petitioner is ready to pay the amounts within a short time, he can be permitted to continue with payment of future monthly instalments. In response, the petitioner seeks direction for permitting regularisation, on the undertaking that he is relinquishing all challenges and that he is not intending to invoke any remedies available under the statute. 5. Under the above mentioned circumstances, the writ petition is disposed of directing the petitioner to remit the entire defaulted amounts in 3 (three) equal monthly instalments, falling due on or before 30.10.2010 and on or before the last day of the two succeeding months. The petitioner will also make payment of the regular monthly instalments due for the month of October, November and December 2010, along with the above said payments. W.P(C) No.31136 of 2010-N 3 6. If payment of the defaulted amounts is regularised as directed above, the respondents shall permit the petitioner to pay the future monthly instalments in accordance with the original schedule of repayment. 7. It is made clear that on the event of default in payment of any one of the amounts as stipulated above or any one of the future monthly instalments, the respondents will be free to proceed with further steps. It is further made clear that the above relief is granted subject to the condition that the petitioner is precluded from raising any subsequent challenge against the proceedings. Sd/- C.K.ABDUL REHIM JUDGE //True Copy// P.A to Judge ab W.P(C) No.31136 of 2010-N 4