QIN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE GOPINATH P.
FRIDAY, THE 1ST DAY OF JULY 2022 / 10TH ASHADHA, 1944
WP(C) NO. 19371 OF 2022
PETITIONERS:
1 SABUMON M.V
AGED 54 YEARS
S/O. VASU, MARAPPILLIL HOUSE, SOUTH MARADY P.O,
ERNAKULAM DISTRICT, PIN - 686673.
2 VASU M.R,
AGED 82 YEARS
S/O. RAMAN, MARAPPILLIL HOUSE, SOUTH MARADY P.O,
ERNAKULAM DISTRICT - 686673.
3 SUMATHY VASU,
W/O. VASU, MARAPPILLIL HOUSE, SOUTH MARADY P.O,
ERNAKULAM DISTRICT - 686673.
BY ADV SACHIN RAMESH
RESPONDENTS:
1 MUVATTUPUZHA URBAN CO-OPERATIVE BANK LIMITED,
REPRESENTED BY ITS AUTHORIZED OFFICER, HEAD OFFICE,
KACHERITHAZHAM, MUVATTUPUZHA, ERNAKULAM DISTRICT -
686661.
2 THE AUTHORISED OFFICER,
HEAD OFFICE, KACHERITHAZHAM, MUVATTUPUZHA, ERNAKULAM
DISTRICT - 686661.
OTHER PRESENT:
SRI. SAJEEVKUMAR K GOPAL (SC)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
01.07.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P (C) No.19371/2022 -2-
JUDGMENT
The petitioners have availed two loans from the 1 st respondent bank, one being a term loan facility and the other being an over draft facility. The Petitioners have approached this Court challenging proceedings initiated under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (hereinafter referred to as the Securitisation Act) for recovery of the amounts due upon the loans availed by the petitioners.
2. During the course of hearing, petitioners have confined the relief to an opportunity for repaying the overdue amount in instalments and to obtain regularisation of all the loan accounts.
3. The learned Standing Counsel for the 1st respondent submits that the over draft facility cannot be regularised as the term has already expired and the petitioners will have to clear the entire liability of Rs.15,70,626/- (as on 20-06- 2022) together with any accrued interest and costs. It is submitted that the term loan can be regularised on the petitioner remitting the over due amount of Rs.6,19,685/- (as on 20-06-2022) together with any accrued interest and costs. It was further submitted that though proceedings for recovery have been initiated, as a matter of indulgence, the respondent bank is willing to accept repayment of the overdue amount in limited instalments and regularise the term loan account.
4. I have heard the learned counsel for the petitioners as well as the learned Standing Counsel for the respondent Bank.
5. Having regard to the facts and circumstances of the case and the situation now prevailing, apart from the submissions made as recorded above and W.P (C) No.19371/2022 -3- taking into account the fact that the petitioners have undertaken to clear off the liabilities, I am of the view that the petitioners can be granted an opportunity to clear off the outstanding amount in respect of over draft facility in 15 equal monthly installments commencing from 30-07-2022 and also the over due amount of Rs.6,19,685/- in the term loan account together with any interests and costs in 15 equal monthly installments commencing from 30-07-2022.
6. Accordingly, there will be a direction to the 2nd respondent to accept the outstanding amount of Rs.15,70,626/-in respect of over draft facility together with any accrued interests and costs in fifteen installments and the entire overdue amount of Rs.6,19,685/- in respect of term loan along with interest and costs in fifteen installments and regularise the term loan account of the petitioners on the following conditions:
(i) The outstanding amount of Rs.15,70,626/- in respect of over draft facility together with any accrued interest and costs shall be repaid in fifteen equated monthly instalments commencing from 30-07-2022.
(ii) The overdue amount of Rs.6,19,685/- in respect of term loan account together with any accrued interest and costs shall be repaid in fifteen equated monthly instalments commencing from 30-07-2022.
(iii) The subsequent instalments shall be paid on the last working day of every succeeding month.
(iv) Petitioners shall also service the term loan account by paying all future installments in time.
W.P (C) No.19371/2022 -4-
(v) In the event of default of any one instalment, the respondent bank shall be entitled to proceed in accordance with law.
(vi) In order to enable the petitioners to repay the entire amounts, all coercive proceedings shall be kept in abeyance.
The writ petition is disposed of as above.
Sd/-
GOPINATH P.
JUDGE AMG W.P (C) No.19371/2022 -5- APPENDIX OF WP(C) 19371/2022 PETITIONER EXHIBITS Exhibit P1 COPY OF THE NOTICE ISSUED BY THE 1ST RESPONDENT DATED 3.11.2021 AGAINST LOAN ACCOUNT, Exhibit P2 COPY OF THE NOTICE ISSUED BY THE 1ST RESPONDENT DATED 5.11.21 AGAINST OVER DRAFT FACILITY.
Exhibit P3 COPY OF PETITIONER'S BANK ACCOUNT STATEMENT.