Sri. M S Salim vs Canara Bank
2022 Latest Caselaw 5749 Ker

                 IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                 PRESENT
                   THE HONOURABLE MR.JUSTICE N.NAGARESH
         FRIDAY, THE 27TH DAY OF MAY 2022 / 6TH JYAISHTA, 1944
                         WP(C) NO. 15632 OF 2022
PETITIONERS

     1        SRI. M S SALIM,
              AGED 58 YEARS
              S/O. SRI, SAITHALI,
              MALLISSERY, PERUMBADAN HOUSE,
              EDAYAPURAM, ALUVA, ERNAKULAM 683 101.
     2        SRI. SANITHA SALIM,
              S/O. SRI, M S SALIM,
              MALLISSERY, PERUMBADAN HOUSE,
              EDAYAPURAM, ALUVA, ERNAKULAM 683 101.
              BY ADV RENOY VINCENT


RESPONDENT

              CANARA BANK,
              ERNAKULAM SOUTH BRANCH
              OPPOSITE GIRLS HIGH SCHOOLS, CHITTOOR ROAD ,
              ERNAKULAM 682 016,
              REPRESENTED BY ITS CHIEF MANAGER.

              SRI. GOPIKRISHNAN NAMBIAR (SC)-
     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
27.05.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 WP(C) NO.15632 OF 2022
                                    2




                          JUDGMENT

Dated this the 27th day of May, 2022

The 1st petitioner, who is the owner of Innova Crysta

(KL-41 P-3000), availed a vehicle loan from the respondent.

The 2nd petitioner is the guarantor. Though the 1 st petitioner

remitted initial instalments promptly, there occurred default in

making remittances subsequently.

2. The learned counsel for the petitioners would

submit that due to the Kerala Floods, the business activities of

the 1st petitioner was seriously affected and the stock materials

were damaged, resulting in closure of business for some time.

This was the reason for default. The respondent, however,

entrusted the task of coercive recovery of the amounts due

from the petitioners to an agency. It is in the circumstances

that the petitioners are before this Court. WP(C) NO.15632 OF 2022

3. The learned Standing Counsel for the respondent

entered appearance and resisted the writ petition. The

Standing Counsel controverted all the material allegations

made by the petitioners in the writ petition. It was submitted on

behalf of the respondent that the total liability outstanding in

the vehicle loan account is `20,08,995/-. The 1st petitioner is a

consistent defaulter and two other accounts of the 1 st petitioner

are already declared as NPA. However, the 1 st petitioner can

be granted a very short time for repaying the dues in

instalments.

4. I have heard the learned counsel for the petitioners

and the learned Standing Counsel representing the

respondent.

5. When the writ petition came up for admission on

23.05.2022, the petitioners expressed their willingness to

deposit an amount of `1 lakh. The petitioners state that the

said amount had been paid on 26.05.2022. WP(C) NO.15632 OF 2022

6. Perusing the pleadings in the writ petition, it is

evident that the default is as a consequence of the Kerala

Floods and consequential collapse in business of the 1 st

petitioner. Therefore, this Court is of the view that the

petitioners can be granted reasonable time to pay off the

outstanding amount in instalments.

7. In the circumstances, the writ petition is disposed of

with the following directions:-

(1). The 1st petitioner shall remit the balance

outstanding in respect of the vehicle loan account along with

accruing interest and other charges, if any, in 18 equal and

consecutive monthly instalments.

(2). The first of such instalments shall be paid on or

before 30.06.2022.

(3). If the 1st petitioner commits any default in making

remittances as directed above, the respondent will be at liberty

to proceed against the 1st petitioner, in accordance with law. WP(C) NO.15632 OF 2022

(4). If the 1st petitioner makes prompt payments as

directed above, any coercive proceedings including seizure of

the vehicle should stand deferred.

(5). The 1st petitioner will be at liberty to approach the

respondent for One Time Settlement in the matter.

sd/-

N.NAGARESH JUDGE hmh WP(C) NO.15632 OF 2022

APPENDIX OF WP(C) 15632/2022

PETITIONER EXHIBITS Exhibit P1 AN EXTRACT OF THE STATEMENT OF ACCOUNT OF VEHICLE LOAN (A/C NO. 0806603010931) AVAILED BY THE IST PETITIONER FROM THE RESPONDENT.

Exhibit P2 TRUE COPY OF THE LETTER SENT BY THE RESPONDENT TO THE IST PETITIONER INFORMING ABOUT THE ENGAGEMENT OF RECOVERY AGENT.

Exhibit P3 TRUE COPY OF THE LETTER SENT BY THE RESPONDENT TO THE 2ND PETITIONER INFORMING ABOUT THE ENGAGEMENT OF RECOVERY AGENT.