IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 23RD DECEMBER 2009 / 2ND POUSHA 1931 WP(C).No. 32558 of 2009(L) -------------------------- PETITIONER(S): --------------- 1. M/S.UNISON INTERNATIONAL REPRESENTED BY ITS PROPRIETOR JOSE P.MATHEW, G.V.IYER ROAD, WILLINGDON ISLAND, COCHIN-682 003. 2. M/S.PARKSON ESTATES AND INDUSTRIES, REPRESENTED BY MANAGING PARTNER VARGHESE.P.MATHEW, G.V.IYER ROAD, WILLINGDON ISLAND, COCHIN-682 003 3. VARGHESE.P.MATHEW, S/O.P.O.VARKEY, AGED 50 YEARS, PARAYATHUKATTIL HOUSE, CHERUPARAMBATH ROAD, KADAVANTHRA, COCHIN-682 003. 4. SMT.NEENA ELIZABETH VARGHESE, W/O.VARGHESE.P.MATHEW, PARAYATHUKATTIL HOUSE, CHERUPARAMBATH ROAD, KADAVANTHRA, COCHIN-682 003. 5. JOSE P.MATHEW, S/O.P.V.MATHEW, PARAYATHUKATTIL HOUSE, CHERUPARAMBATH ROAD, KADAVANTHRA, COCHIN-682 003. BY ADVS. SRI.K.MOHANAKANNAN SMT.A.R.PRAVITHA RESPONDENT(S): --------------- 1. THE SENIOR MANAGER, UCO BANK, P.B.NO.63, FORT COCHIN, ERNAKULAM DISTRICT. 2. THE ASSISTANT GENERAL MANAGER, (ZONAL HEAD), ZONAL OFFICE, UCO BANK, OVERBRIDGE JUNCTION, THIRUVANANTHAPURAM. 3. THE AUTHORISED OFFICER, UNDER SARFAESI ACT, UCO BANK, P.B.NO.43, FORT COCHIN, ERNAKULAM DISTRICT. BY ADV. SRI.GEORGE KARITHANAM VARGHESE, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23/12/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: shg/ C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 32558 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 23rd day of December, 2009 J U D G M E N T 1. Challenge in this writ petition is against the coercive steps initiated by the respondents under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). The proceedings is initiated against the secured assets with respect to loan transaction, consequent to default committed by the petitioner in repayments. Limited prayer in this writ petition is to grant time for settlement of the account, since the petitioners are hopeful of getting considerable amount by virtue of an agreement already entered by them as evidenced from Exts.P5& P6. 2. When the matter came up for consideration on 07.12.2009 this court directed payment of a sum of Rs.20 lakhs, which is reported as complied with. The petitioners further submitted that he had already W.P.(C)No. 32558 of 2009 -2- approached the respondents seeking 'Compromise Settlement', on the promise to pay the entire amount within a short period, provided waiver of interest/penal interest and expenses is permitted. Ext.P14 & P15 are representations submitted by the petitioner before the respondents in this regard. The petitioner seeks indulgence of this court to direct the respondents to consider those representations and till a decision is taken to keep in abeyance further coercive steps. 3. Learned standing counsel appearing for the respondent bank contended that even after payment of the sum of Rs.20 lakhs there is a balance of around Rs.1,20,00,000/-(Rupees One crore Twenty lakhs only) outstanding. It is further submitted that the Bank has not received Exts.P14 & P15 representations. 4. Having considered facts and circumstances of the case, I am of the opinion that the writ petition can be disposed of directing the respondent Bank to consider 'compromise settlement' treating the payment of W.P.(C)No. 32558 of 2009 -3- Rs.20 lakhs towards pre-requisite deposit for such consideration of settlement. 5. Accordingly the writ petition is disposed of directing the petitioners to approach the Bank on production of Exts.P14 & P15 or any further representation if so advised, within a period of one week from the date of receipt of a copy of this judgment. The respondents are directed to consider waiver of amounts to the possible extent and shall intimate the petitioner about decision taken on such requests. Needless to say that the petitioners shall be provided with a reasonable period for payment of the amount if so arrived in the settlement. 6. Till such decision is taken and intimated, further coercive steps shall be kept in abeyance, provided the petitioner makes proper representation as directed above within the time stipulated therein. C.K. ABDUL REHIM JUDGE shg/