Kerala High Court
Premnath M vs Kerala Gramin Bank on 22 July, 2021
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE A.M.BADAR
THURSDAY, THE 22ND DAY OF JULY 2021 / 31ST ASHADHA, 1943
WP(C) NO. 14525 OF 2021
PETITIONER:
PREMNATH M.,
AGED 61 YEARS
S/O CHATHU,
SREEGIRI-MANARI, VILAKKATH PARAMBU,
VALAYANADU WEST NADA, KOMMERI P.O.,
KOZHIKODE DISTRICT, PIN-673 007.
BY ADVS.
B.PREMNATH (E)
MANI GOVINDA MARAR
SARATH M.S.
RESPONDENTS:
1 KERALA GRAMIN BANK,
MANKAVU BRANCH,
KOZHIKODE DISTRICT, PIN-673 007,
REPRESENTED BY ITS CHIEF MANAGER.
2 THE CHIEF MANAGER,
KERALA GRAMIN BANK,
ANKAVU BRANCH,
KOZHIKODE DISTRICT, PIN-673 007.
R1-2 BY SRI.JAWAHAR JOSE,STANDING COUNSEL
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22.07.2021, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C).No.14525 OF 2021
2
JUDGMENT
Dated this the 22nd day of July 2021
The learned Standing Counsel takes notice
for both respondents.
2. Heard both sides.
3. The learned counsel for the petitioner
submits that the petitioner had received financial
assistance for housing purpose amounting to
Rs.3,00,000/-(Rupees Three Lakhs Only) in the year
2009 from the respondents. He wants to make a
complete settlement and closure of that housing
loan by payment of the balance standing in his said
loan account in installments. It is further argued
that the petitioner had also availed a loan of
Rs.7,00,000/- (Rupees Seven Lakhs Only) for
further construction of his house and he could not
service that loan in due time, because of covid-19
WP(C).No.14525 OF 2021
pandemic and its adverse effect on income of the
petitioner. The learned counsel for the petitioner
submits that therefore, the respondents be directed
to accept the amount in regular installments and
consequently the further proceedings pursuant to
the notice under the SARFAESI Act be kept in
abeyance.
4. The learned Standing Counsel appearing for
the respondents submits that the term of the loan
of Rs.3,00,000/- (Rupees Three Lakhs Only) is over
way back in 2020. And as of now the balance amount
due and payable by the petitioner in respect of
that loan is Rs.3,27,551/-. However, the learned
counsel for the petitioner is disputing this fact
on the basis of notice dated 09-04-2021 wherein the
respondent bank has stated that the arrears are
Rs.3,00,786.49/-. So far as the other loan of
Rs.7,00,000/- is concerned, the earned counsel for
the respondents submits that the overdue amount of
that loan is around Rs.80,000/- and the petitioner
WP(C).No.14525 OF 2021
can repay that overdue amount with regular
installments.
5. I have considered the submissions advanced.
When the period of loan in over, grant of facility
of restructuring of such loan is the sole
prerogative of the bank. This court cannot direct
the respondents to extend installment facilities in
respect of the loan of which the entire period is
already over. The learned counsel for the
petitioner is willing to pay the entire amount in
respect of his liability regarding loan of
Rs.3,00,000/- taken for housing purpose. The
amount is disputed. The petitioner can get the
necessary clarification in respect of that amount
from the respondent bank and he cannot be justified
in disputing such liability on the basis of odd
letter issued by the respondent bank. The
petitioner is seeking two weeks time to clear the
entire outstanding amount in the loan account, in
respect of the loan taken in the year 2009. The
WP(C).No.14525 OF 2021
respondent bank is willing to grant few
installments in respect of outstanding amount of
loan of Rs.7,00,000/-. Hence the petition is
allowed with following order:
'The petitioner to clear the entire
outstanding liability in respect of the
housing loan of Rs.3,00,000/- taken in the
year 2009 within a period of two weeks from
today. So far as another housing loan taken
by the petitioner in the year 2004 is
concerned, the petitioner is permitted to
clear the overdue amount which is stated to
be approximately Rs.80,000/- in ten equated
successive monthly installments commencing
from 09-08-2021. In addition, the petitioner
should also pay EMIs of that loan regularly.
If the petitioner clears the entire
liability in respect of the first housing
loan of Rs.3,00,000/- within two weeks as
granted by this Court then the petitioner
WP(C).No.14525 OF 2021
shall be entitled for the installment
facility in respect of clearing the over due
amount regarding loan of Rs.7,00,000/-'.
If this direction is complied with, the
respondents shall keep coercive action under the
SARFAESI Act initiated against the petitioner in
abeyance. A single default on the part of the
petitioner in compliance with these directions
shall entail the respondents to continue with the
coercive action initiated against the petitioner.
No further extension of time shall be granted to
the petitioner for compliance with these
directions.
The petition, is disposed of as above.
Sd/-
A.M.BADAR
JUDGE
SSK/22/07
WP(C).No.14525 OF 2021
APPENDIX
PETITIONER'S EXHIBITS:
EXHIBIT P1 TRUE COPY OF THE NOTICE ISSUED TO THE PETITIONER
BY THE 1ST RESPONDENT REGARDING HIS LOAN ACCOUNT
NO.GHL(LA 155)17715155000509, DATED 09-04-2021.
EXHIBIT P1(A) TRUE COPY OF THE ENGLISH TRANSLATION OF THE NOTICE
ISSUED TO THE PETITIONER BY THE 1ST RESPONDENT
REGARDING HIS LOAN ACCOUNT NO.GHL(LA
155)17715155000509, DATED 09-04-2021.
EXHIBIT P2 TRUE COPY OF THE NOTICE ISSUED TO THE PETITIONER
BY THE 1ST RESPONDENT REGARDING HIS LOAN ACCOUNT
NO.HLG(HLG)17715324002014, DATED 09-04-2021.
EXHIBIT P2(A) TRUE COPY OF THE ENGLISH TRANSLATION OF THE NOTICE
ISSUED TO THE PETITIONER BY THE 1ST RESPONDENT
REGARDING HIS LOAN ACCOUNT
NO.HLG(HLG)17715324002014, DATED 09-04-2021.
EXHIBIT P3 TRUE COPY OF THE NOTICE OF THE 2ND RESPONDENT WITH
REFERENCE NO.175/KGB/RL/SARFAESI/641542/2021
ISSUED TO THE PETITIONER, DATED 02-06-2021.
RESPONDENT'S EXHIBITS:NIL
SSK //TRUE COPY// PA TO JUDGE
