IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 1ST DECEMBER 2009 / 10TH AGRAHAYANA 1931 WP(C).No. 34061 of 2009(C) ---------------------------------------- PETITIONER(S): -------------------------- S.HARISANKAR, S/O.SANKARA PILLAI, SREENIKETHAN, THATTATHUMALA, KILIMANOOR, THIRUVANANTHAPURAM DIST. BY ADV. MR.C.R.SIVAKUMAR RESPONDENT(S): ------------------------- 1. THE AUTHORISED OFFICER/CHIEF MANAGER, THE STATE BANK OF TRAVANCORE, BEACH ROAD BRANCH, KOLLAM DISTRICT. 2. THE BRANCH MANAGER, THE STATE BANK OF TRAVANCORE, BEACH ROAD BRANCH, KOLLAM DISTRICT. 3. THE ASSISTANT GENERAL MANAGER, REGIONAL - 4, STATE BANK OF TRAVANCORE, ZONAL OFFICE, SANTHINAGAR, THIRUVANANTHAPURAM. BY ADV. MR.R.S.KALKURA, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 01/12/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 34061 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 1st day of December, 2009 J U D G M E N T 1. Challenge in this writ petition is against steps proceeded with under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) for taking over possession of immovable property of the petitioner, invoking Section 14 (1) of the said Act. The proceedings are initiated consequent to default committed by the petitioner in repayment of a cash credit facility availed from the respondent Bank. According to the petitioner considerable repayment has already been made in the loan account. On an earlier occasion the petitioner had approached this court seeking to permit 'One Time Settlement'. Yet another grievance of the writ petitioner is that, the title deeds pledged with the Bank is in the custody of CBI in connection with investigation of a criminal case and the petitioner W.P.(C)No. 34061 of 2009 -2- sought direction against the respondent Bank to release the title deeds on payment of the amount, by virtue of settlement proposed. In the judgment in Writ Appeal No.109/2009 a Division Bench of this Court directed the petitioner to approach the Bank seeking One Time Settlement. It was clarified therein that once the payment is settled the petitioner can approach the CBI court seeking release of the documents. 2. Since no settlement was arrived pursuant to the earlier judgment and since coercive steps under the SARFAESI Act are proceeded with, the present writ petition is filed. Eventhough various contentions are raised regarding irregularity in the proceedings, learned counsel for the petitioner concede that the petitioner is ready and willing to pay off the entire liability within a reasonable time, provided installment facility is granted. 3. Standing counsel for the respondent Bank submitted that the arrears outstanding at present is more than Rs.4 lakhs and the loan account is in chronic default W.P.(C)No. 34061 of 2009 -3- since a considerable period. Therefore the Bank is not favouring in permitting any extended period for payment of the balance outstanding. 4. Having considered facts and circumstances of the case and submissions on both sides, I am of the opinion that some indulgence can be shown in the matter of permitting the petitioner to pay off the entire liability within a reasonable time, in installments. 5. Accordingly the writ petition is disposed of directing the petitioner to make payment of an amount of Rs.75,000/- (Rupees Seventy Five thousand only) on or before 31.01.2010. The respondents are directed to keep in abeyance coercive steps for dis-possession and sale of the property till such date. On payment of the said amount the respondents shall intimate the petitioner about the balance outstanding, after crediting all payments and after considering waiver of interest/penal interest and expenses to the possible extent. The petitioner shall continue payment of the balance amount so intimated, in five equal W.P.(C)No. 34061 of 2009 -4- monthly installments thereafter, falling due on or before 28.02.2010 and on or before the last day of the succeeding months. 6. It is made clear that on the event of failure to pay any of the installments as stipulated as above, the Bank will be free to proceed with further steps pursuant to the notices already issued, and on any such event the petitioner will be precluded from raising any subsequent challenge against such proceedings either before this court or before any other forum. C.K. ABDUL REHIM JUDGE shg/