IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN WEDNESDAY, THE 26TH AUGUST 2009 / 4TH BHADRA 1931 WP(C).No. 13115 of 2007(J) ------------------------------------ PETITIONER(S): ---------------------- 1. C.H.YOUSEF HAJI, PROPRIETOR LEEBAHS EXPORTS, SHABEEL, KANNOTHUMCHAL ROAD, KANNUR. 2. P.FATHIMA, W/O.C.H.YOUSEF HAJI, SHABEEL, KANNOTHUMCHAL, KANNUR. BY ADV. SRI.M.RAMESH CHANDER RESPONDENT(S): ------------------------ 1. CHIEF MANAGER, STATE BANK OF INDIA, SIB BRANCH, S.N.PARK ROAD, KANNUR-670001. 2. AUTHORISED OFFICER, STATE BANK OF INDIA, SIB BRANCH,S.N.PARK ROAD, KANNUR-670 001. BY ADV. MR.K.K.CHANDRAN PILLAI FOR R1 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 26/08/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 13115 of 2007(J) APPENDIX PETITIONERS'EXHIBITS: EXT.P1 - PHOTOCOPY OF LAWYER NOTICE DATED 8.3.2006. EXT.P2 - PHOTOCOPY OF STATEMENT OF ACCOUNTS DATED 3.7.06 ISSUED BY 1ST RESPONDENT EXT.P3 - PHOTOCOPY OF NOTICE ISSUED BY 1ST RESPONDENT DATED NIL. EXT.P4 - PHOTOCOPY OF LETTER DATED 23.8.06 BY FIRST PETITIONER TO THE BANK. EXT.P5 - PHOTOCOPY OF STATEMENT OF ACCOUNTS DATED 22.1.2007 ISSUED BY BANK. EXT.P6 - PHOTOCOPY OF NOTIFICATION PUBLISHED IN MATHRUBHUMI DAILY DATED 8.4.2007. EXT.P7 - PHOTOSTAT COPY OF RECEIPT ISSUED TO THE PETITIONER DATED 8.5.07. EXT.P8 - PHOTOSTAT COPY OF STATEMENT OF ACCOUNTS DATED 8.5.07. // TRUE COPY // PA TO JUDGE rhs S. SIRI JAGAN, J ............................................... W.P(C) No. 13115 of 2007 ................................................. Dated this the 26th day of August, 2009 J U D G M E N T Petitioners obtained a loan from the 1st respondent bank. They defaulted repayment of the loan. As per Ext.P5 statement of accounts, the petitioner was directed to pay Rs.9,40,113.56/-. The petitioner did not pay that amount. Proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 were initiated by respondents as evidenced by Ext.P6 public notice. But the amount shown therein was Rs.15,08,806.30/- which according to the petitioner is far more than the amount shown in Ext.P5 statement of accounts. It is under the above circumstances, the petitioner has filed this writ petition challenging Ext.P6 on the ground that the amount mentioned there is not the amount due from the petitioner. Respondents have filed a statement, wherein they have taken a contention that in Ext.P5, interest has been calculated at 7.15%, whereas interest rate payable by the petitioner as per agreement is 14.25%. It is further submitted that when an account is classified W.P(C) No. 13115 of 2007 -2- as NPA, interest is not credited to the account and that is why the amount shown in Ext.P5 was far below the actual amount due. 2. The petitioner would contend that it is not at all a mistake and the actual interest rate payable is only 7.15%. For deciding that dispute I will have to take evidence which may not be feasible in a petition which is beyond the scope of this writ petition. Taking into account the facts and circumstances of the case, I dispose of this writ petition with the following directions. The petitioner shall pay an amount of Rs.5 lakhs within one month from today. The petitioner shall appear before the 1st respondent on 29.9.2009. The parties will have a discussion on the balance amount payable and come to a settlement in respect thereof. While doing so, respondents shall give all possible remissions either in the matter of payment of interest or otherwise and intimate the petitioner about the balance amount payable by the petitioner. The petitioner shall pay the balance amount arrived so in accordance with direction of the respondents, without prejudice to the right of the petitioner to challenge the correctness of the demand. S. SIRI JAGAN, JUDGE rhs