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. 15895 OF 2022
PETITIONERS:
1 JAMES JOSEPH,
AGED 63 YEARS,
S/O. JOSEPH THOMAS, MULLUKALAYIL, NEAR BISHOP HOUSE,
KANJIRAPPALLY, KOTTAYAM DISTRICT, PIN - 686 507.
2 TONY JAMES,
S/O. JAMES JOSEPH, MULLUKALAYIL, NEAR BISHOP HOUSE,
KANJIRAPPALLY, KOTTAYAM DISTRICT, PIN - 686 507.
3 ROY THOMAS,
S/O. JOSEPH THOMAS, MULLUKALAYIL, NEAR BISHOP HOUSE,
KANJIRAPPALLY, KOTTAYAM DISTRICT, PIN - 686 507.
BY ADV. NOBLE MATHEW
RESPONDENTS:
1 THE BRANCH MANAGER,
STATE BANK OF INDIA, VADAVATHOOR BRANCH, ELIM CENTRE,
K.K. ROAD, VADAVATHOOR P.O, KOTTAYAM DISTRICT,
PIN - 686 010.
2 THE ASSISTANT GENERAL MANAGER,
STATE BANK OF INDIA, REGIONAL OFFICE,
SME CENTRE, POLACHIRACKAL CHAMBERS, 3RD FLOOR,
OPP. COLLECTORATE, KOTTAYAM DISTRICT, PIN - 686 002.
3 M/S. FORCE MOTORS LTD.
REP. BY ITS MANAGER, AKURUDI, PUNE, MAHARASHTRA,
PIN - 411 035.
4 THE DEPUTY TAHSILDAR,
KANJIRAPPALLY TALUK, KANJIRAPPALLY P.O,
KOTTAYAM DISTRICT, PIN - 686 507.
ADV.DEEPA NARAYANAN, SC, SBI
ADV.JITHESH MENON
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. 15895 OF 2022
2
JUDGMENT
Petitioners have approached this Court challenging Securitisation proceedings initiated against the petitioners under the provisions of the SARFAESI Act in respect of a cash credit facility availed by the petitioners for business purposes.
2. The learned counsel for the petitioners submits that petitioners had suffered loss in his business and therefore could not service the loan at the appropriate time and the outstanding amount is Rs.13,54,517-(Rupees thirteen lakhs fifty four thousand five hundred and seventeen only) as on 18.04.2022. It is submitted that if the petitioners are granted an instalment facility, they will be in a position to clear out the entire liability.
3. The learned Standing Counsel appearing for the Bank submits that since the loan is a cash credit facility, the petitioners cannot seek regularization of the loan and the entire amount has to be remitted.
4. Taking note of the submissions of the learned counsel for the petitioners and the learned Standing Counsel for the respondents 1 and 2, this writ petition is disposed of directing the respondent Bank to accept repayment of the entire outstanding WP(C) NO. 15895 OF 2022 3 amount of Rs.13,54,517-(Rupees thirteen lakhs fifty four thousand five hundred and seventeen only) along with bank charges from the petitioners in the following manner:-
(i)The outstanding amount of Rs.13,54,517-(Rupees thirteen lakhs fifty four thousand five hundred and seventeen only) along with any accrued interest and charges shall be repaid in 12 equated monthly instalments.
(ii)The first instalment shall be paid on or before 30.06.2022.
(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 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 DK WP(C) NO. 15895 OF 2022 4 APPENDIX OF WP(C) 15895/2022 PETITIONER EXHIBITS Exhibit P1 PHOTOSTAT COPY OF THE DEMAND NOTICE UNDER SECTION 7 OF THE REVENUE RECOVERY ACT ISSUED BY THE RESPONDENT NO. 4 DATED 18.04.2022.
Exhibit P2 PHOTOSTAT COPY OF THE DEMAND NOTICE UNDER SECTION 34 OF THE REVENUE RECOVERY ACT ISSUED BY THE RESPONDENT NO. 4 DATED 18.04.2022.