Moideen Kutty vs Authorised Officer, Kerala Bank
2022 Latest Caselaw 6156 Ker

                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

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

APPENDIX OF WP(C) 9201/2022

PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE NOTICE ISSUED BY THE IST RESPONDENT DATED 02.02.2022.