IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 2ND DECEMBER 2009 / 11TH AGRAHAYANA 1931 WP(C).No. 29260 of 2009(B) --------------------------------------- CMP.7256/2009 of C.J.M.,KOLLAM .................... PETITIONER(S): ----------------------- V. GOPAKUMAR, S/O.VASUDEVAKURUP, GOKULAM, BENGLAMKUNNU, NILAMEL, KOLLAM. BY ADV. MR.SAJU. S.A RESPONDENT(S): ------------------------- 1. THE AUTHORIZED OFFICER, CHIEF MANAGER, STATE BANK OF TRAVANCORE, REGION V, ZONAL OFFICE, THIRUVANANTHAPURAM. 2. THE MANAGER, STATE BANK OF TRAVANCORE, NILAMEL BRANCH, NILAMEL, KOLLAM DISTRICT. R1 & R2 BY ADV. MR.R.S.KALKURA. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 02/12/2009,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 29260/2009-B APPENDIX PETITIONER'S EXHIBITS: EXT.P1: COPY OF THE NOTICE DATED 14/09/2009. EXT.P2: COPY OF THE REPRESENTATION SUBMITTED BY THE PETITIONER TO THE 1ST RESPONDENT, DATED 07/10/2009. EXT.P3: COPY OF THE LETTER ISSUED BY THE 1ST RESPONDENT TO THE PETITIONER, DATED 08/10/2009. RESPONDENT'S EXHIBITS: NIL //TRUE COPY// P.A. TO JUDGE rs. C.K.ABDUL REHIM, J. ------------------------------ W.P.(C).No.29260 OF 2009 ------------------------------ Dated this the 2nd day of December, 2009 J U D G M E N T ---------------------- 1. Challenge in this writ petition is against coercive steps proceeded against the immovable properties, which are the secured assets with respect to two loan transactions with the respondent Bank, under Section 14(1) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). Consequent to default committed by the petitioner with respect to the loans availed for business purposes, the Bank had initiated proceedings against the immovable properties. On invoking Section 14(1) the Chief Judicial Magistrate Court had appointed an Advocate Commissioner for taking over actual possession of the property. According to the petitioner he made a representation to the 1st respondent as evidenced from Ext.P2 seeking permission to pay the arrears within a reasonable period, in installments. But it was not acceded to. Hence the writ petition. 2. It is submitted that the petitioner had undergone a by- pass surgery and he is not in a position to undertake any hectic activities. However, through Ext.P3 the petitioner was issued W.P.(C).29260/-09-B 2 with reply to the effect that his compromise proposal can be considered only if a specific request is made after remitting 25% of the dues. 3. By virtue of an interim order issued by this court on 20.10.2009 the petitioner had effected an amount of Rs.2 lakhs. In a statement filed on behalf of the 1st respondent it is mentioned that the balance outstanding as on 31.10.2009 in the loan accounts are Rs.3,15,617/- and Rs.7,74,947/- respectively. Counsel for the petitioner submits that after crediting payment of Rs.2 lakhs, the balance will be around Rs.9 lakhs only. The petitioner is seeking indulgence of this court to permit payment of the balance amount in installments as well as for a direction to the Bank to consider his request for waiver. 4. Having considered facts and circumstances of the case and the rival contentions, I am of the opinion that the petitioner can be permitted to make payment of the entire amount due under the loan accounts within a reasonable time in installments. 5. Accordingly the writ petition is disposed of directing the petitioner to make payment of an amount of Rs.2,50,000/- (Rupees Two lakhs Fifty thousand only) on or before 31.1.2010. The respondents are directed to keep in abeyance further coercive steps for dispossession of the petitioner from the W.P.(C).29260/-09-B 3 property and for sale of the property till such date. On payment of the said amount the respondents shall consider the request of the petitioner for One Time Settlement treating the amounts paid after filing of this writ petition as deposit in view of the pre- requisite condition for considering the compromise settlement. The petitioner shall be intimated about the decision on the settlement and the net balance payable shall be informed, after crediting all payments made till then. 6. The petitioner shall continue payment of the balance amount so intimated in 5 (five) equal monthly installments thereafter starting from 28.2.2010 and on or before the last day of the succeeding months. 7. It is made clear that on the event of default in payment of any of the amounts as stipulated above, the respondents will be at liberty to take further steps pursuant to the order already issued by the Chief Judicial Magistrate Court, and on such event the petitioner will be precluded from raising any further challenge against such proceedings either before this court or before any other forum. C.K.ABDUL REHIM, JUDGE. okb