IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN THURSDAY, THE 17TH JANUARY 2008 / 27TH POUSHA 1929 WP(C).No. 37136 of 2007(U) -------------------------- PETITIONER: ------------ T.A. KURIAN, S/O. ESTHAPON, AGED 65 YEARS, THADATHIL ARUNOOTTIMANGALAM KARA, MULAKKULAM VILLAGE, KOTTAYAM DISTRICT. BY ADV. SRI.PAUL K.VARGHESE RESPONDENTS: ------------- 1. THE KOTTAYAM DISTRICT CO-OPERATIVE BANK LTD., PERUVA BRANCH, REPRESENTED BY ITS SECRETARY, PERUVA NEAR PIRAVOM. 2. CHACKO MATGHEW, S/O. MATHEW, AGED 42 YEARS, MADATHIKUNNEL, KEEZHOOR P.O., KOTTAYAM. BY ADV. SRI.SUNIL CYRIAC,SC,DIST.CO-OP,BANK,KTM THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 17/01/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Thottathil B. Radhakrishnan, J. ================================== W.P.(C)No.37136 of 2007 ================================== Dated this the 17th day of January, 2008. JUDGMENT The second respondent availed a loan from the first respondent. Petitioner is a co-obligant who has offered his property as a collateral security. The payment of the loan was defaulted. Ultimately, the District Legal Services Authority, Kottayam issued Ext.P1 award in adalat between respondents 1 and 2 whereby the amount due from the second respondent is fixed. Petitioner, though not a party to Ext.P1, will be entitled to the benefit of that award regarding the quantum to be paid at that settlement. However, since the amount has not been paid, SARFAESI Act has been initiated leading to Ext.P4 notification of dispossession. Two items are involved in Ext.P4. One belongs to the petitioner and the other belongs to the second respondent. The SARFAESI Act and Rules provide WPC37136/2007 -:2:- that any sale under that Act shall be confined to such property as may be required for discharging the debts. Under such circumstances, it is directed that the first respondent will sell only such extent of property as may be necessary to wipe off the debts and such sale in the first instance shall include the property of the second respondent. Writ petition is disposed of in the above terms. Thottathil B.Radhakrishnan, Judge. sl.