Kerala High Court
Chella Kasu vs The Manager on 21 December, 2023
Author: N.Nagaresh
Bench: N.Nagaresh
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
THURSDAY, THE 21ST DAY OF DECEMBER 2023 / 30TH AGRAHAYANA, 1945
WP(C) NO. 24974 OF 2022
PETITIONER:
CHELLA KASU
AGED 61 YEARS
W/O. KASU, CHUKKAMKONAM VILAYANCHATHANUR,
VILAYANNUR P.O., THENKURISI, PALAKKAD- 678 671.
BY ADV K.K.RAJEEV
RESPONDENTS:
1 THE MANAGER
ALATHUR PRIMARY COOPERATIVE AGRICULTURAL RURAL
DEVELOPMENT BANK KUZHALMANNAM BRANCH
KUZHALMANNAM P.O., PALAKKAD- 678 702.
2 THE SALE OFFICER
ALATHUR PRIMARY COOPERATIVE AGRICULTURAL RURAL
DEVELOPMENT BANK LTD NO. PR620,
ALATHUR P.O., PALAKKAD PIN- 678 541.
BY ADVS.
P.K.VIJAYAMOHANAN
AISWARYA V.S.
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
21.12.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) No.24974 of 2022
2
JUDGMENT
Dated this the 21st day of December, 2023
The petitioner has approached this Court aggrieved by
the coercive proceedings for recovery of financial advance
made by the Alathur Primary Co-operative Bank to the
petitioner, invoking the provisions of the Kerala State
Agricultural and Rural Development Act.
2. The Bank paid ₹3 lakhs to the petitioner as
Housing Loan in the year 2014. The petitioner states that
though the petitioner made remittances promptly during the
initial repayment period of the financial advance, she could
not pay the repayment installments promptly later due to
financial stringency. The repayment of loan fell into arrears
later. It happened due to reasons beyond the control of the
petitioner.
3. Though the petitioner requested the Bank to permit
the petitioner to repay the overdue amounts in easy monthly
installments, the Bank authorities were not yielding. The
authorities, instead, started coercive proceedings, invoking
the provisions of the Kerala State Agricultural and Rural
Development Act and issued Exts.P3 and P5 notices.
4. The petitioner states that she is still in a position to
clear the overdue amounts towards the loan, if sufficient time
is given to clear the dues in easy monthly installments. If the
respondents are permitted to continue with the coercive
proceedings and auction the secured assets provided by the
petitioner, she will be put to untold hardship and loss.
5. Standing Counsel entered appearance on behalf of
the Bank and denied all the statements made by the
petitioner. On behalf of the respondents, it is submitted that
the loan was given to the petitioner in the year 2014. The
petitioner committed default in repaying the loan.
6. The Bank repeatedly reminded the petitioner and
required her to clear the dues. The petitioner deliberately
omitted to do so. In the circumstances, the Bank had no other
go than to proceed against the petitioner invoking the
provisions of the Kerala State Agricultural and Rural
Development Act. The impugned Exts.P3 and P5 were
issued in these circumstances. The petitioner has not
advanced any legal reasons to thwart the coercive
proceedings initiated by the Bank.
7. The Standing Counsel, however, submitted that if
the petitioner is ready and willing to make a substantial
payment soon and remit the balance outstanding amount
immediately thereafter, a short breathing time can be granted
to the petitioner to clear the dues. The Standing Counsel
submitted that the outstanding amount due to the Bank from
the petitioner as on 01.08.2022 is ₹7,36,613/-.
8. I have heard the counsel for the petitioner and the
Standing Counsel representing the Bank.
9. The specific case of the petitioner is that the
petitioner has been making the repayment and maintaining
the loan account initially. The default in repayment of the loan
occurred lately due to reasons beyond the control of the
petitioner. The petitioner has provided substantial security
which will safeguard the interest of the Bank.
10. In the facts and circumstances of the case, I am
inclined to dispose of the writ petition giving a short and
reasonable time to the petitioner to clear off the liability.
11. The writ petition is therefore disposed of with the
following directions:
(i) The petitioner shall remit the
outstanding amount of ₹7,36,613/- in 12
consecutive and equal monthly installments.
First of such installments shall be paid on or
before 22.01.2024.
(ii) The petitioner shall remit the balance
outstanding amount in subsequent
consecutive 11 equal monthly installments
thereafter, along with accruing interest and
other Bank charges, if any.
(iii) If the petitioner commits any default in
making payments as directed above, the
respondents will be at liberty to continue with
coercive proceedings against the petitioner in
accordance with law.
(iv) If the petitioner makes payments as
directed above, coercive proceedings, if any,
against the petitioner shall stand deferred.
Sd/-
N.NAGARESH
JUDGE
spk
APPENDIX OF WP(C) 24974/2022
PETITIONER EXHIBITS
Exhibit P1 TRUE COPY OF THE MEDICAL CERTIFICATE
SHOWING THE TREATMENT EXPENSES OF
PETITIONER'S SON.
Exhibit P2 TRUE COPY OF THE REGISTERED NOTICE
ISSUED BY THE 2ND RESPONDENT DATED
12.05.2022 TO THE PETITIONER.
Exhibit P3 TRUE COPY OF THE NOTICE INTIMATING THE
SALE OF PROPERTY OF THE PETITIONER.
Exhibit P4 THE RECEIPT OF LAST PAYMENT MADE BY
THE PETITIONER ON 14.02.2022.
Exhibit P-5 TRUE COPY OF THE ATTACHMENT NOTICE
DATED 21.12.2023 ISSUED BY THE
RESPONDENT BANK
RESPONDENT EXHIBITS
Exhibit R1 TRUE COPY OF THE GEHAN EXECUTED BY THE
PETITIONER ALONG WITH HER SONS AND
DAUGHTER ON 17-06-2014.
