IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 30TH NOVEMBER 2010 / 9TH AGRAHAYANA 1932 WP(C).No. 3867 of 2010(G) ------------------------- PETITIONER: -------------------- T.CHANDRIKA DEVI, CHANDRA VILASAM, POTTAMTHOTTAM, PANTHA P.O., VAZHICHAL, THIRUVANANTHAPURAM. BY ADV. SRI.T.RAJASEKHARAN NAIR RESPONDENTS: ---------------------- 1. THE FEDERAL BANK LTD., REPRESENTED BY ITS CHIEF MANAGER/AUTHORIZED OFFICER, REGIONAL OFFICE, FEDERAL TOWERS, M.G.ROAD, THIRUVANANTHAPURAM. 2. THE BRANCH MANAGER, FEDERAL BANK LTD., KALLIKADU BRANCH, MYLAKKARA P.O., (VIA) KATTAKADA, THIRUVANANTHAPURAM. ADV. SRI.GEORGE VARGHESE (MANACHIRACKEL) SRI.P.R.MILTON SRI.K.J.CHACKOCHAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30/11/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J. = = = = = = = = = = = = W(C).No.3867 of 2010-G. = = = = = = = = = = = = Dated this the 30th day of November, 2010. J U D G M E N T Challenge in this writ petition is against proceedings initiated by the respondents Bank under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). Consequent default committed in repayment of a housing loan as well as an agricultural loan availed by the petitioner, the respondent initiated coercive steps against the immovable property, invoking powers under Section 14 (1) of the SARFAESI Act, before the Chief Judicial Magistrate Court, Thiruvananthapuram. Ext.P9 is the petition filed before the Chief Judicial Magistrate Court. According to the petitioner, in spite of approaches made to settle the amounts due under the loan accounts, the Bank was not inclined to grant any waiver of the huge interest and penal interest charged. Hence this writ petition is filed W(C).No.3867/2010-G. 2 seeking appropriate reliefs. 2. It is not just or proper to this Court to interfere with the proceedings on the basis of merits of any of the contentions raised, especially in view of the dictum laid down by the Apex Court in United Bank of India v. Satyawati Tondon and others (2010(8) SCC 110). 3. However, it is noticed that, as a gesture of indulgence, this Court had stayed all further proceedings subject to condition of payment of a sum of Rs.1,00,000/-. It is reported that the petitioner had complied with the condition. A statement is filed on behalf of respondents 1 and 2 to the effect that there is no dues pending with respect to the agricultural loan since the balance outstanding was written off in terms of the Debt Relief Scheme, 2008 formulated by the Central Government. With respect to the housing loan, it is stated that, an amount of around to Rs.2,46,000/- is the arrears outstanding, after crediting all payments made. W(C).No.3867/2010-G. 3 4. As stated above, considering pendency of the matter before the Chief Judicial Magistrate Court, this Court is not inclined to interfere with the matter. However, learned counsel for the petitioner submits that the petitioner is relinquishing all challenges against the proceedings and that the petitioner is not intending to proceed with any statutory remedy. The limited prayer of the petitioner is only to permit her to make payment of the balance, within a reasonable time. Considering the facts and circumstances I am inclined to grant such a relief. 5. Accordingly, the respondents are directed to keep in abeyance all further proceedings for dispossession and sale of the property and to permit the petitioner to remit the entire balance due in 4 (four) equal monthly instalments falling due on or before 28.2.2011 and on or before the last day of the succeeding months. 6. It is made clear that the petitioner will be at liberty to approach the respondent seeking waiver of W(C).No.3867/2010-G. 4 interest/penal interest or expenses to the possible extent and the respondents are at liberty to consider such request. 7. It is made clear that if there is any failure on the part of the petitioner to comply with any of the conditions stipulated as above, the respondents are free to proceed with further steps and on such event the petitioner will be precluded from raising any subsequent challenge. C.K.ABDUL REHIM, (Judge) Kvs/-