Kerala High Court
Reji.P.Ravi vs Mahindra Rural Housing Finance on 20 May, 2024
Author: N.Nagaresh
Bench: N.Nagaresh
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
MONDAY, THE 20TH DAY OF MAY 2024 / 30TH VAISAKHA, 1946
WP(C) NO. 10874 OF 2024
PETITIONER:
REJI.P.RAVI
AGED 43 YEARS
W/O SAJU.B, RESIDING AT PERAYATHUKONAM,
VADAKKINKARA VEEDU, MEKKOLLA,
DHANUVACHAPURAM P.O, KOLLAYIL, MANCHAVILAKOM,
THIRUVANANTHAPURAM DISTRICT, PIN - 695503
BY ADVS.
J.R.PREM NAVAZ
SUMEEN S.
MUHAMMED SWADIQ
RESPONDENTS:
1 MAHINDRA RURAL HOUSING FINANCE
LTD 3RD FLOOR, AMBADY TOWERS, POOKKATTUPADY
ROAD, EDAPPALLY TOLL, ERNAKULAM,
REPRESENTED BY ITS AUTHORIZED OFFICER.
PIN - 682024
2 THE AUTHORIZED OFFICER
MAHINDRA RURAL HOUSING FINANCE LIMITED MAHINDRA
RURAL HOUSING FINANCE LTD 3RD FLOOR,
AMBADY TOWERS, POOKKATTUPADY ROAD,
EDAPPALLY TOLL, ERNAKULAM,
PIN - 682024
SRI.M.A.JOSEPH MANAVALAN FOR R1 & R2
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 20.05.2024, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
W.P.(C) No.10874/2024
:2:
N. NAGARESH, J.
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W.P.(C) No.10874 of 2024
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Dated this the 20th day of May, 2024
JUDGMENT
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The petitioner as co-borrower obtained a housing
loan of ₹1,80,000/- from the 1 st respondent-finance company.
On the failure of the borrowers to make repayments
promptly, the respondents initiated proceedings under the
SARFAESI Act. Section 14 notice was issued on the
petitioner.
2. The petitioner thereupon filed the writ petition
seeking the following reliefs:-
(i) To issue a writ of certiorari or any other
appropriate writ, order calling for the records
leading to Exts.P2 and P3 and quash the same
holding that the very declaration of the petitioner's
loan accounts as NPA is without following the
procedures prescribed and hence illegal and
unauthorised.
(ii) To issue a writ of mandamus directing
respondents 1 and 2 to permit the petitioner to
discharge the outstanding overdue loan liability in
24 monthly instalments as fixed by this Hon'ble
Court and to regularise the loan.
(iii) Such other reliefs that may be deemed
fit and proper by the Hon'ble Court in the
circumstances of this case.
3. This Court passed an interim order on 18.03.2024
staying further proceedings pursuant to Ext.P3 for a period of
one month on condition that the petitioner remits an amount
of ₹20,000/- on or before 27.03.2024. In RP No.400/2024,
the counsel for the writ petitioner undertook to pay an
additional amount of ₹20,000/- on or before 27.03.2024.
4. The Standing Counsel representing the
respondents opposed the writ petition and submitted that the
total amount outstanding was ₹2,20,529/- and the overdue
amount payable was ₹82,524/-, when the writ petition was
filed. As on 27.03.2024, the total outstanding balance was
₹1,82,004/-. The Standing Counsel urged that a writ petition
is not maintainable against the proceeding initiated by the
respondents under the SARFAESI Act.
5. I have heard the learned counsel for the petitioner
and the learned Standing Counsel representing the
respondents.
6. The loan involved in the writ petition is a housing
loan. The Standing Counsel representing the financial
institution would submit that the loan account cannot be
regularised paying the overdue amount. The counsel for the
petitioner submits that the petitioner is ready to pay the total
outstanding amount, if a breathing time is granted.
7. Pursuant to the interim order of this Court, the
petitioner has paid ₹20,000/- and had undertaken to pay a
further amount of ₹20,000/- on or before 27.03.2024. In the
circumstances of the case, I am of the view that the writ
petition can be disposed of granting a short time to the
petitioner to clear the loan account.
8. The writ petition is therefore disposed of with the
following directions:-
(i) The petitioner shall pay the total
outstanding amount of ₹1,82,004/- as on
27.03.2024 in 12 equal and consecutive
monthly instalments along with accruing
interest and other administrative charges, if
any. The first of such instalments shall be
paid within a period of one month from
today.
(ii) If the petitioner makes the
payments as directed above, coercive
proceedings pursuant to Exts.P2 and P3
shall stand deferred.
(iii) If the petitioner commits default in
making payments as directed above, the
respondents will be at liberty to proceed
against the petitioner in accordance with
law.
Sd/-
N. NAGARESH, JUDGE
aks/15.05.2024
APPENDIX OF WP(C) 10874/2024
PETITIONER'S EXHIBITS
Exhibit P1 THE TRUE COPY OF THE DEMAND NOTICE
ISSUED TO THE PETITIONER DATED
25.07.2023
Exhibit P2 THE TRUE COPY OF THE ORDER DATED
17.02.2024 IN M.C. NO: 123 OF 2024
PASSED BY THE CHIEF JUDICIAL
MAGISTRATE, THIRUVANANTHAPURAM
Exhibit P3 THE TRUE COPY OF THE NOTICE DATED
1.03.2024 ISSUED TO THE PETITIONER BY
THE ADVOCATE COMMISSIONER APPOINTED
PURSUANT TO EXT-P2 ORDER
