IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON WEDNESDAY, THE 19TH MAY 2010 / 29TH VAISAKHA 1932 WP(C).No. 11519 of 2010(L) -------------------------- PETITIONERS: --------------- 1. ABDUL KHADER, AGED 49 YEARS, S/O.ISMAIL RASWTHER, PYNUMOOTTIL THEKKETHIL, ATHIKKATTUKULANGARA P.O., ALAPPUZHA DISTRICT. 2. RABIATH, AGED 47 YEARS, W/O.ABDUL KHADER, PYNUMOOTTIL THEKKETHIL, AHTIKKATTUKULANGARA P.O., ALAPPUZHA DISTRICT. BY ADV. MR. C.A.CHACKO MS. C.M.CHARISMA MR. N.A.SHAFEEK MR. M.S.UNNIKRISHNAN (OASIS) RESPONDENTS: --------------- 1. THE CHIEF MANAGER (AUTHORIZED OFFICER), M/S.FEDERAL BANK LTD., REGIONAL OFFICE, SREE RAJARAJESWARI BUILDING, CHURCH ROAD, MULLACKAL, ALAPPUZHA. 2. FEDERAL BANK LTD., CHUNAKKARA BRANCH, CHARUMMOODU P.O., ALAPPUZHA. ADV. MR. MOHAN JACOB GEORGE MS. P.V.PARVATHI MS. REENA THOMAS MR. L.RAM MOHAN FOR R1 THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 19/05/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON J. ~~~~~~~~~~~~~~~~~~~~~~~ W.P. (C) No. 11519 of 2010 ~~~~~~~~~~~~~~~~~~~~~~~ Dated, this the 19th day of May, 2010 JUDGMENT The grievance projected in this Writ Petition is against the coercive steps taken by the respondent Bank, invoking the machinery under the SARFAESI Act, for realization of the amount stated as due from the petitioners. 2. The first petitioner, who is the borrower had availed a term loan of Rs. 2,00,000/- and a cash credit loan of Rs. 50,000/- from the respondent Bank. The second petitioner who is the wife of the first petitioner stood as a guarantor and security interest was created over the property in question. When the petitioners turned to be defaulters, the Bank proceeded with coercive steps as aforesaid. 3. The challenge raised by the petitioner is mainly that the Bank is not justified in pursuing such coercive steps since the Bank has already obtained a decree as borne by Ext.P1. 4. The learned counsel appearing for the petitioner submits that the petitioners do not intend to press any of the contentions raised in the Writ Petition; nor do they intend to avail any statutory remedy. The only prayer now pressed is to provide some reasonable time to satisfy the entire liability by way of installments. It is also submitted that W.P. (C) No. 11519 of 2010 : 2 : pursuant to the interim direction given by this Court on 05.4.2010, the petitioners have already satisfied a sum of Rs. 2 lakhs, 5. The learned counsel for the Bank submits that, after giving due credit to the above sum of Rs. 2 lakhs, the outstanding liability is nearly Rs. 6,50,484/-. 6. Taking note of the submissions made from either side, this Court finds that petitioners can be permitted to clear the outstanding liability in a phased manner. Accordingly, the petitioners are directed to clear the entire arrears under the loan transaction by way of '6' equal monthly installments; the first of which shall be effected on or before 15th June, 2010, to be followed by similar installments to be effected on or before 15th of the succeeding months. Subject to this, the coercive steps being pursued against the petitioners shall be kept in abeyance for the time being. It is made clear that, if the petitioners commit any default in effecting the installments, as aforesaid, the respondent Bank will be at liberty to proceed with further steps 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