IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON MONDAY, THE 13TH JULY 2009 / 22ND ASHADHA 1931 WP(C).No. 18996 of 2009(T) -------------------------- PETITIONERS: --------------- 1. A.ABDUL RASHEED, S/O.K.ABDUL SHUKKOOR, AGED 45, 43/784, MUMTAZ MANZIL, KALLATTUMUKKU, MANACAUD P.O., THIRUVANANTHAPURAM. 2. NOORJAHAN, W/O.ABDUL RASHEED, TC 43/784, MUMTAZ MANZIL, KALLATTUMUKKU, MANACAUD P.O., THIRUVANANTHAPURAM. BY ADV. MR. M.RAMASWAMY PILLAI MR. P.M.JOSEPH RESPONDENTS: --------------- 1. UNION OF INDIA, REPRESENTED BY SECRETARY, MINISTRY OF FINANCE, NEW DELHI. 2. THE AUTHORISED OFFICER & CHIEF MANAGER, UNION BANK OF INDIA, CHALAI BAZAR BRANCH, THIRUVANANTHAPURAM. 3. UNION BANK OF INDIA, CHALAI BAZAR BRANCH, THIRUVANANTHAPURAM, REPRESENTED BY ITS BRANCH MANAGER. R1 BY MR. PARAMESWARAN NAIR, ASST. SOLICITOR GENERAL OF INDIA R2 AND R3 BY ADV. MR. A.S.P KURUP, STANDING COUNSEL THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13/07/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON J. ~~~~~~~~~~~~~~~~~~~~~~~ W.P. (C) No. 18996 of 2009 ~~~~~~~~~~~~~~~~~~~~~~~ Dated, this the 13th day of July, 2009 JUDGMENT The petitioners, in connection with the business, had availed a cash credit facility of Rs. 89 lakhs. Subsequently the business was collapsed and despite all the adverse circumstances, the petitioners managed to sell some or other properties and accordingly a sum of Rs.71 lakhs was paid as per the accounts till the last year. 2. The learned counsel for the respondent Bank submits that, as on date, a sum of more than Rs. 28 lakhs is due, with further interest and cost. 3. The learned counsel appearing for the petitioner submits that, the petitioners have made alternate arrangements to find out prospective purchasers to the property in question and once the purchaser turns up, the amount to be procured by virtue of the sale of the property could be remitted to the Bank so as to clear the entire outstanding liability. The limited prayer now made before this Court is to provide some breathing time to the petitioner to complete the steps being taken in this regard. 4. The learned counsel for the respondent Bank vehementally opposed the prayers sought for, asserting that, the attitude and approach of the petitioner have not been trustworthy so far. Though the petitioners have remitted a portion of the loan amount, the WP (C) No. 18996 of 2009 : 2 : arrangements stated as made to have the property disposed of for generating the funds is stated as doubted. 5. Any how, considering the facts and circumstances, particularly the submission made by the counsel for the petitioners that, a total sum of Rs.71 lakhs has already been remitted to the Bank and the limited time required for clearing the said liability is six months, the petitioners are permitted to clear the entire liability within a total span of six months. Out the entire liability, the petitioners have to effect the payment of Rs.5 lakhs within six weeks and the balance amount shall be cleared by way of four regular monthly installments to be effected on or before the 15th of every month commencing from September 2009 onwards, if the sale is not materialized in the meantime. Till such time, the coercive proceedings stated as being taken against the petitioners under the relevant provisions of SARFAESI Act, shall be kept in abeyance. It is also made clear that, if the petitioners commit any default in effecting the payment as above, the respondent Bank will be at liberty to proceed with the steps for realization of the entire amount in lump sum. This will be without prejudice to the right of the petitioners to approach the respondent Bank for availing the benefit of OTS or other concessions, if any, to be decided at the hands of the Bank. The Writ Petition is disposed of as above. P. R. RAMACHANDRA MENON, JUDGE kmd