Moideen Kutty vs Authorised Officer, Kerala Bank

                IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                 THE HONOURABLE MR. JUSTICE GOPINATH P.
     WEDNESDAY, THE 1ST DAY OF JUNE 2022 / 11TH JYAISHTA, 1944
                         WP(C) NO. 9201 OF 2022
PETITIONER/S:

          MOIDEEN KUTTY,
          AGED 49 YEARS
          S/O. MUHHAMMEDKUTTY, PARAYIL HOUSE, CHEROOPA, KOZHIKODE
          673 665.
          BY ADVS.
          M.PROMODH KUMAR
          MAYA CHANDRAN
          ABIMALEK C VALSAN


RESPONDENT/S:

    1     AUTHORISED OFFICER, KERALA BANK,
          REGIONAL OFFICER, KALLAYAR ROAD, CHALAPPURAM P.O.,
          KOZHIKODE 673 002.
    2     THE MANAGER,
          KERALA BANK, MAVOOR P.O., KOZHIKODE 673 661.
          SRI. P.C. SASIDHARAN, SC
     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
01.06.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 WP(C) NO. 9201 OF 2022             2



                               JUDGMENT

Petitioner has approached this Court challenging proceedings initiated by the respondent Bank under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, for recovery of the amounts due from the petitioner.

2. Learned counsel appearing for the petitioner submits that the petitioner had taken cash credit facility from the respondent bank, but he could not repay/service that loan because of the financial crisis in connection with Covid-19 pandemic.

3. Learned Standing Counsel appearing for the respondent bank submits that the petitioner availed cash credit facility of Rs.10,00,000/- and committed default in repayment. It is also submitted that regularisation is not possible and the term of the loan is already over. It is further submitted that though proceedings for recovery have been initiated, as a matter of indulgence, the respondent bank is willing to accept the repayment of the amount due in limited instalments. According to the learned Standing counsel appearing for the respondent, as of now, balance WP(C) NO. 9201 OF 2022 3 amount which is liable to be repaid is Rs.20,53,819/- (Rupees twenty lakhs fifty three thousand eight hundred and nineteen only) as on 31.05.2022 and the petitioner can be permitted to clear the same in twelve instalments.

4. I have heard Adv. M. Promodh Kumar, learned counsel for the petitioner as well as Adv. P.C. Sasidharan, learned Standing counsel appearing for the respondent.

5. Having regard to the circumstances of the case and the situation now prevailing, apart from the submissions made as recorded above, I am of the view that the petitioner can be granted an opportunity to repay the outstanding amount in twelve instalments and thereafter, if the amount so directed is repaid within the time as directed above, to have the loan account regularised.

6. Accordingly, there will be a direction to the respondent bank to accept repayment of the entire outstanding amount of Rs.20,53,819/- (Rupees twenty lakhs fifty three thousand eight hundred and nineteen only) along with any accrued interest and bank charges from the petitioner on the following conditions:

(i) The outstanding amount of Rs.20,53,819/- (Rupees twenty lakhs fifty three thousand eight hundred and nineteen only)/- shall be repaid in twelve equated monthly instalments.

(ii) The first instalment shall be paid on or before 20.06.2022 and the subsequent instalments shall be paid on or before the 20th day of each succeeding month.

(iii) In the event of default of any one instalment, the respondent bank shall be entitled to proceed in accordance with law.

(iv) In order to enable the petitioner 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 ajt WP(C) NO. 9201 OF 2022 5 APPENDIX OF WP(C) 9201/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE NOTICE ISSUED BY THE IST RESPONDENT DATED 02.02.2022.