P. V .Mohanlal vs Punjab National Bank Ltd

Citation : 2021 Latest Caselaw 13521 Ker
Judgement Date : 1 July, 2021

Kerala High Court
P. V .Mohanlal vs Punjab National Bank Ltd on 1 July, 2021
         IN THE HIGH COURT OF KERALA AT ERNAKULAM
                         PRESENT
       THE HONOURABLE MR. JUSTICE P.B.SURESH KUMAR
 THURSDAY, THE 1ST DAY OF JULY 2021 / 10TH ASHADHA, 1943
                 WP(C) NO. 12869 OF 2021
PETITIONER:

         P. V .MOHANLAL
         AGED 48 YEARS
         S/O.VASU, PUTHENPARAMBIL HOUSE, KODANCHERRY,
         KOZHIKODE, KERALA - 673580
         BY ADVS.
         SANTHAN V.NAIR
         CHRISTEENA P GEORGE


RESPONDENTS:

         PUNJAB NATIONAL BANK LTD.
         HAVING ITS REGISTERED OFFICE AT SHANTHI BHAVAN,
         MINI BYEPASS, OPPOSITE BUS STOP, GOVINDAPURAM,
         KOZHIKODE, KERALA - 673016
         REPRESENTED BY THE CIRCLE MANAGER


         BY SRI.SANTHEEP ANKARATH, SC

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION
ON 01.07.2021, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
 W.P.(C) No.12869 of 2021              2




                       W.P.(C) No.12869 of 2021
                  -------------------------------------------


                             JUDGMENT

Petitioner, who is a lawyer, availed an education loan from the respondent bank for undergoing a post graduate course in law abroad. It is stated that the petitioner could not, for reasons beyond his control, repay the instalments of the loan. The bank has consequently initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 for realisation of the balance outstanding in the loan account. The petitioner then approached the bank for one time settlement of the liability. On the request made by the petitioner, the bank has permitted the petitioner to liquidate the liability by remitting Rs.16 lakhs on condition that Rs.3,20,000/- out of the same shall be paid on or before 31.03.2021 and the balance amount of Rs.12,80,000/- W.P.(C) No.12869 of 2021 3 shall be paid on or before 28.06.2021. The petitioner accepted the said offer and remitted Rs.3,20,000/- on 31.03.2021. The writ petition is filed on 25.06.2021 seeking enlargement of time prescribed for payment of the balance amount by six months. It is stated in the writ petition that the petitioner had entered into an agreement for sale of his property, and expecting that the sale proceeds would be received before 28.06.2021, that he had made the offer to liquidate the liability before the said date. It is also stated by the petitioner that due to the restrictions in connection with the prevention of the spread of pandemic, Covid-19, the purchaser of the property could not raise the balance sale consideration payable to the petitioner, and the purchaser has assured the petitioner to pay the balance amount within six months.

2. Heard the learned counsel for the petitioner as also the learned Standing Counsel for the respondent Bank.

3. The learned Standing Counsel for the respondent Bank pointed out that the liability of the petitioner has been W.P.(C) No.12869 of 2021 4 substantially reduced in the light of the offer made by him to liquidate the liability on or before 28.06.2021 and therefore, there is absolutely no bonafides in seeking further time for liquidation of the liability.

Having regard to the peculiar facts and circumstances of the case, especially the fact that the loan in question is an education loan, I deem it appropriate to dispose of the writ petition granting four months time to the petitioner from 28.06.2021 to pay the balance amount viz, Rs.12,80,000/-, on condition that the petitioner shall pay interest for the said amount from 28.06.2021 at the rate of 9% per annum till the date of payment and on further condition that he shall remit a sum of Rs.1,00,000/- within one month and another sum of Rs.1,00,000/- within a month thereafter. Ordered accordingly.

Sd/-

P.B.SURESH KUMAR, JUDGE.

ds 01.07.2021 W.P.(C) No.12869 of 2021 5 APPENDIX PETITIONER'S EXHIBITS:


EXHIBIT P1                 TRUE COPY OF THE ONE TIME SETTLEMENT
                           OFFER LETTER DATED 31.03.2021 ISSUED BY
                           THE RESPONDENT IN FAVOUR OF THE
                           PETITIONER


EXHIBIT P2                 TRUE COPY OF THE RECEIPT DATED
                           31.03.2021 EVIDENCING PAYMENT OF 1ST
                           INSTALLMENT OF OTS AMOUNT AS PER EXT.P1


EXHIBIT P3                 TRUE COPY OF THE REPRESENTATION DATED
                           21.06.2021 SUBMITTED BY THE PETITIONER
                           BEFORE THE RESPONDENT FOR EXTENSION OF
                           TIME WITH ENGLISH TRANSLATION