IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON MONDAY, THE 22ND JUNE 2009 / 1ST ASHADHA 1931 WP(C).No. 3465 of 2009(K) ------------------------- PETITIONERS: --------------- 1. K.M.KAVITHA, AGED 35, W/O.K.R.JAYACHANDRAN, R/AT.AMRUTHA HOUSE NO.LIG 819, PANAMPILLY NAGAR, ERNAKULAM. KOCHI-682036, ELAMKULAM VILLAGE KANAYANNUR TALUK, ERNAKULAM. 2. K.R.JAYACHANDRAN, AGED 38, S/O.LATE RADHAKRISHNAN R/AT.AMRITHA HOUSE NO.LIG 819, PANAMPILLY NAGAR, ERNAKULAM, KOCHI-682036, ELAMKULAM VILLAGE, KANAYANNUR TALUK, ERNAKULAM. BY ADV. MR. K.C.ELDHO MR. JIJO THOMAS RESPONDENTS: --------------- 1. STATE OF KERALA, REP. BY SECRETARY TO THE GOVERNMENT, DEPARTMENT OF FINANCE, GOVERNMENT SECRETARIATE, THIRUVANANTHAPURAM. 2. AUTHORISED OFFICER, HONGKONG AND SHANGHAI BANKING CORPORATION LTD. PULIKKAL ESTATE, M.G.ROAD, PALLIMUKKU, ERNAKULAM, KOCHI-682016. 3. HONGKONG AND SHANGHAI BANKING CORPORATION LTD., PULIKKAL ESTATE, M.G.ROAD, PALLIMUKKU, ERNAKULAM, KOCHI-682016. REP. BY ITS BRANCH MANAGER. R1 BY GOVERNMENT PLEADER MR. P.K. BABU R2 AND R3 BY ADV. MR. KKM.SHERIF FOR R2-3 MR. LAL K.JOSEPH FOR R2-3 MR. A.A.ZIYAD RAHMAN FOR R2-3 MS. SHEENA SAMUEL FOR R2-3 THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22/06/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON J. ~~~~~~~~~~~~~~~~~~~~~~~ W.P. (C) No. 3465 of 2009 ~~~~~~~~~~~~~~~~~~~~~~~ Dated, this the 22nd day of June, 2009 JUDGMENT The petitioners had availed two different loans from the respondent Bank. The first one was a housing loan and the other one, in respect of the business being pursued by the second petitioner, who is the husband of the first petitioner. Because of the adverse circumstances, the business run by the second petitioner collapsed and the repayment could not be effected as originally stipulated. This made the respondent Bank to proceed with coercive steps, invoking the relevant provisions under the SARFAESI Act, which in turn is sought to be intercepted in the present Writ Petition. 2. When the matter had come up for admission earlier, this Court had passed interim order, directing the petitioners to effect some payments as specified. The learned counsel for the petitioners submits that the petitioners have already effected a payment of Rs.2,00,000/- and earnest efforts are being made to arrange funds from different corners to see that the entire liability under both the loan accounts are wiped off, in toto. 3. The learned counsel appearing for the respondent Bank submits that, a sum of Rs. 9.7 lakhs is due under one loan; whereas the outstanding amount under the other loan will come around Rs.5.7 WP (C) No. 3465 of 2009 : 2 : lakhs, thus making the petitioners liable to satisfy a total sum of about Rs.15 lakhs plus incidental expenses, for clearing the entire liability. 4. After hearing both the sides and particularly taking note of the submission that the entire liability will be cleared within 3 months, the petitioners are directed to deposit a sum of Rs.5,00,000/- to prove their bona fides within one month. The entire balance amount shall be paid in two equal monthly installments to be effected on or before the 20th of August, 2009 and also 20th of September, 2009 respectively. Till such time, the coercive proceedings stated as being pursued against the petitioners shall be kept in abeyance. It is made clear that, if any default is committed by the petitioners in effecting the installments as above, the respondent Bank will be at liberty to proceed against the petitioners for realization of the entire amount in lump sum, from the stage where it stands now. The Writ Petition is disposed of accordingly. P. R. RAMACHANDRA MENON, JUDGE kmd