Kerala High Court
Praveen Kumar vs The South Indian Bank Ltd on 27 June, 2023
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE C.S.DIAS
TUESDAY, THE 27TH DAY OF JUNE 2023 / 6TH ASHADHA, 1945
WP(C) NO. 18669 OF 2023
PETITIONER:
PRAVEEN KUMAR,
AGED 50 YEARS
S/O NANU, ERANCHERI HOUSE, POTHUVACHERI.P.O,
KADACHIRA, KANNUR., PIN - 670621
BY ADVS. ABDUL RAOOF PALLIPATH
K.R.AVINASH (KUNNATH)
C.H.ABDUL RASAC
RESPONDENT:
THE SOUTH INDIAN BANK LTD.,
ANCHARAKANDY BRANCH, DOOR NO.493, WARD NO.XXI,
T.K.COMPLEX, ANCHARAKANDY BUS STAND,
ANCHARAKANDY.P.O, KANNUR, REP.BY ITS AUTHORISED
OFFICER., PIN - 670612
BY ADV SUNIL SHANKER
OTHER PRESENT:
SRI MOHAN JACOB GEORGE
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
27.06.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C)No.18669/2023
-:2:-
Dated this the 27th day of June,2023
JUDGMENT
The writ petition is filed to direct the respondent
to permit the petitioner to pay off the overdue amount
in equated monthly instalments and regularise the loan
account.
2. The petitioner is the Managing Director of a
partnership firm, which had availed financial
assistance from the respondent - Bank - by creating
an equitable mortgage by deposit of title deeds. The
loan accounts have been declared as Non-performing
Asset[NPA] on 27.01.2023. The petitioner could not
pay the instalments, due to reasons beyond the control
of the firm. Now, the respondent has proceeded
against the secured asset under the Securitization and
Reconstruction of Financial Assets and Enforcement of
W.P.(C)No.18669/2023
Security Interest Act, 2002(in short, 'Act'), by issuing
Ext P1 notice. The petitioner is prepared to pay off the
overdue amount in instalments. Hence, the writ
petition.
3. Heard; Sri. Abdul Raoof Pallipath, the learned
counsel appearing for the petitioner and Sri. Mohan
Jacob George, the learned counsel appearing for the
respondent.
4. Sri. Mohan Jacob George, on instructions,
submitted that the petitioner's firm had availed cash
credit facility. As on 11.06.2023, the outstanding
amount is Rs.62,10,374.61. Being a cash credit facility,
the petitioner cannot be permitted to pay the overdue
amount in instalments. Therefore, the petitioner will
have to pay the outstanding amount. It would be up to
the petitioner to approach the bank with a concrete
proposal to avail the One Time Settlement(OTS)
scheme or exhaust his statutory remedy.
W.P.(C)No.18669/2023
5. Having considered the pleadings and
materials on record and taking note of the submissions
made by the learned counsel appearing for the parties,
I am of the view that a quietus can be given to the writ
petition by permitting the petitioner to approach the
respondent - Bank with a concrete proposal to avail
the OTS scheme.
Resultantly, I order the writ petition in the
following manner:
(i) The petitioner is permitted to submit a
concrete proposal to the respondent, to avail
the OTS scheme, within one week from the
date of receipt of a certified copy of this
judgment.
(ii) If the petitioner submits the proposal before
the respondent - Bank, as ordered above, the
same shall be considered and disposed of by
the respondent, in accordance with law and as
expeditiously as possible, at any rate, within a
period of two weeks from the date of
W.P.(C)No.18669/2023
submission of the proposal, after affording the
petitioner an opportunity of being heard.
Sd/-
C.S.DIAS,JUDGE
DST/27.06.23 //True copy//
P.A.To Judge
W.P.(C)No.18669/2023
APPENDIX
PETITIONER EXHIBITS
EXHIBIT P1 TRUE COPY OF THE DEMAND NOTICE DATED
20.04.2023 ISSUED BY THE RESPONDENT
EXHIBIT P2 TRUE COPY OF THE SMS RECEIVED AS PROOF OF
PAYMENTS
RESPONDENT'S EXHIBITS: NIL
