Sajid vs Kerala State Cooperative Bank
2023 Latest Caselaw 12531 Ker

Kerala High Court

Sajid vs Kerala State Cooperative Bank on 22 November, 2023

Author: N.Nagaresh

Bench: N.Nagaresh

               IN THE HIGH COURT OF KERALA AT ERNAKULAM
                               PRESENT
                 THE HONOURABLE MR.JUSTICE N.NAGARESH
 WEDNESDAY, THE 22ND DAY OF NOVEMBER 2023 / 1ST AGRAHAYANA, 1945
                       WP(C) NO. 34879 OF 2023
PETITIONER:

          SAJID,
          AGED 41 YEARS
          S/O MUHAMMED K.M (LATE), SABEER MANZIL,
          PANAYAAL P.O, BEKAL FORT VIA KASARAGOD - 671318

          BY ADVS.
               K.I.SAGEER
               MUHAMMED YASIL


RESPONDENTS:

    1     KERALA STATE COOPERATIVE BANK,
          REPRESENTED BY ITS AUTHORIZED OFFICER,
          KANNUR REGIONAL OFFICE, P.B NO.35, KANNUR - 670001
    2     BRANCH MANAGER,
          KERALA STATE COOPERATIVE BANK, PALLIKKERE BRANCH,
          PALLIKKERE P.O, KASARAGOD - 671316

          BY ADV M.SASINDRAN


     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
22.11.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 WP(C) No.34879 of 2023
                              2




                         JUDGMENT

Dated this the 22nd day of November, 2023

The petitioner filed this writ petition seeking to direct the

respondents to keep in abeyance coercive proceedings under

Ext.P1.

2. The petitioner had availed a loan of ₹10 lakhs from

the 1st respondent-Bank. When the petitioner defaulted in

making repayment, coercive proceedings under the

Securitisation and Reconstruction of Financial Assets and

Enforcement of Security Interest Act, 2002 was initiated. The

petitioner is before this Court aggrieved by the proceedings

under the Securitisation and Reconstruction of Financial

Assets and Enforcement of Security Interest Act, 2002.

3. When the writ petition came up for admission, this

Court passed an interim order on 20.10.2023 directing that the

petitioner shall remit ₹3 lakhs within one month and coercive

steps against the petitioner shall stand deferred for a period of

one month. The counsel for the petitioner submits that he has

remitted ₹3 lakhs as directed by this Court.

4. Standing Counsel entered appearance on behalf of

the respondents and opposed the writ petition. The Standing

Counsel pointed out that the petitioner had earlier approached

this Court filing W.P.(C) No.3263/2021, in which this Court

had permitted the petitioner to clear liabilities in 12

installments. The petitioner has not cleared the liability. In

such circumstances, the petitioner is not entitled to any relief,

contends the Standing Counsel.

5. The counsel for the petitioner submits that if the

Bank is not willing to give further installment facility, the

petitioner may be permitted to avail the facility of One Time

Settlement in the matter.

6. Heard the learned counsel for the petitioner and the

learned Standing Counsel representing the respondents.

7. The 1st respondent-Bank being a Co-operative

institution, One Time Settlement Scheme floated by the

Government will apply to the 1st respondent also. In such

circumstances, I deem it only appropriate that the petitioner

be permitted to approach the Bank for One Time Settlement.

The writ petition is therefore disposed of directing the

petitioner to make a proposal for One Time Settlement on or

before 23.11.2023. If the petitioner makes such a proposal,

the 1st respondent-Bank will consider it and take appropriate

decision in accordance with law. If the petitioner makes a

proposal for One Time Settlement by 23.11.2023, coercive

proceedings including sale shall stand deferred till the Bank

takes a final decision in the matter.

Sd/-

N.NAGARESH JUDGE spk

APPENDIX OF WP(C) 34879/2023

PETITIONER EXHIBITS

Exhibit -P1 A TRUE COPY OF THE SALE NOTICE DATED 18.10.2023 OF THE 1ST RESPONDENT PUBLISHED IN MATHRUBHOOMI NEWS PAPER DAILY