Raju P.J vs Federal Bank Limited

Citation : 2022 Latest Caselaw 7502 Ker
Judgement Date : 24 June, 2022

Kerala High Court
Raju P.J vs Federal Bank Limited on 24 June, 2022
               IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                 THE HONOURABLE MR. JUSTICE GOPINATH P.
        FRIDAY, THE 24TH DAY OF JUNE 2022 / 3RD ASHADHA, 1944
                         WP(C) NO. 5691 OF 2022
PETITIONER:

           RAJU P.J
           AGED 62 YEARS
           S/O.JOSEPH, PLATHOTTATHIL HOUSE, ELANJI(PO), ERNAKULAM
           DISTRICT,PIN-686665.

           BY ADVS.
           P.K.VARGHESE2022
           P.S.ANISHAD
           LIMNA BHASKARAN
           K.R.ARUN KRISHNAN



RESPONDENTS:

    1      FEDERAL BANK LIMITED
           ELANJI BRANCH, ELANJI(PO),
           KUTHATTUKULAM, ERNAKULAM DISTRICT,
           PIN-686665.

    2      ASSIS.P.M,
           AUTHORISED OFFICER, FEDERAL BANK LTD, LCRD THODUPUZHA
           DIVISION,
           KP VARKY MALL, ROTARY JUNCTION, AMBALAM BYE PASS
           ROAD,THODUPUZHA,
           IDUKKI DISTRICT, PIN-685584.


OTHER PRESENT:

           SRI. P. PAULOCHAN ANTONY (SC)




     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
24.06.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.P (C) No.5691/2022                       -2-

                                   JUDGMENT

When this matter is taken up for consideration toady, it is submitted by learned Standing Counsel for the bank that the over due amount in respect of 3 loans availed by the petitioner is Rs.7,60,000/-. It is submitted that the bank is ready and willing to renew/regularize the loan accounts if the petitioner submits a reasonable proposal to the respondent bank. It is also pointed out that renewal of cash credit and over draft can be only after the petitioner demonstrates that the business activity is continuing.

2. The learned counsel for the petitioner submits that the petitioner was engaged in certain agricultural activities including production of rubber and these activities had come to a stand still on account of COVID-19 pandemic. It is submitted that the petitioner will be able to restart the operations within a short time.

3. Taking note of the submissions as above, it is directed that if the petitioner approaches the bank with a reasonable proposal to clear the over due amounts in respect of the loans availed by him from the respondent bank and also shows that he will restart the business activities within a specified time, the bank shall consider the request of the petitioner. If the petitioner submits a reasonable proposal within a period of 10 days from today, all recovery proceedings against the petitioner shall be deferred till a decision is taken on the proposal to be submitted by the petitioner.

The writ petition is disposed of as above.

Sd/-

GOPINATH P.

JUDGE AMG W.P (C) No.5691/2022 -3- APPENDIX OF WP(C) 5691/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE POSSESSION NOTICE DATED 23.12.2021. Exhibit P2 A TRUE COPY OF THE NOTICE ISSUED BY THE RESPONDENT UNDER SECTION 13(2) OF SARFAESI ACT ON 14.09.2021.