Sabumon M.V vs Muvattupuzha Urban Co-Operative ...
2022 Latest Caselaw 8212 Ker

               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

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.

(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

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.