IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 23RD NOVEMBER 2009 / 2ND AGRAHAYANA 1931 WP(C).No. 31615 of 2009(V) -------------------------- PETITIONER(S): --------------- ASMABI.C.B., W/O.ABDUL RAHIMAN, CHINNAKKAL HOUSE, BABY ROAD, THIRUVATHRA (P.O), CHAVAKKAD, THRISSUR DISTRICT. BY ADVS. SRI.NAGARAJ NARAYANAN SRI.SAIJO HASSAN SRI.A.S.SABU SRI.PRATHAP PILLAI SRI.BINOJ C. AUGUSTIN RESPONDENT(S): --------------- 1. THE AUTHORISED OFFICER/ ASSISTANT GENERAL MANAGER, RASMECCC STATE BANK OF INDIA, THRISSUR. 2. THE CHIEF MANAGER, STATE BANK OF INDIA, THRISSUR TOWN BRANCH, POOMA COMPLEX, M.G.ROAD, THRISSUR 680 001. BY ADV. SRI. R.S. KALKURA, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23/11/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: shg/ C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 31615 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 23rd day of November, 2009 J U D G M E N T 1. Limited prayer in this writ petition is to permit the petitioner to regularise the loan account which is in arrears and with respect to which proceedings under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) has already been initiated by the respondents. Consequent to default committed in repayment of a housing loan availed by the petitioner in the year 2007, the respondents had initiated the proceedings and notice under Section 13 (4) has now been issued for taking over possession of the immovable property, which is the secured asset. 2. Learned standing counsel appearing for the respondents on instructions submitted that, after availing the loan, the petitioner has not cared to make any substantial repayments and therefore the loan was W.P.(C)No. 31615 of 2009 -2- categorized as NPA and the impugned proceedings were initiated. Since the loan account is in chronic default, the Bank is not favouring in permitting any extended period for repayment of the balance. 3. Having considered facts and circumstance of the case and rival contentions, I am of the opinion that the petitioner can be given a chance to regularise the account within a short period. 4. Accordingly the petitioner is directed to make payment of the total amount outstanding pertaining to default installments till November 2009, along with over due interest and expenses if any liable, in three (3) equal monthly installments falling due on or before 31.12.2009 and on or before the 15th day of two succeeding months. The petitioner shall also make payment of the regular installments due from December, 2009 onwards along with the above said payments. If the account is regularised as directed above, the respondents shall permit the petitioner to continue repayments in accordance with the original W.P.(C)No. 31615 of 2009 -3- schedule. 5. 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/