Kerala High Court
Anziya Beegum vs Kerala State Co-Operative Bank Limited on 23 May, 2024
Author: N.Nagaresh
Bench: N.Nagaresh
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
THURSDAY, THE 23RD DAY OF MAY 2024 / 2ND JYAISHTA, 1946
WP(C) NO. 16140 OF 2024
PETITIONER:
ANZIYA BEEGUM
AGED 53 YEARS
W/O.SYED MOHAMMED, CHOORAVALIL HOUSE,
RATHICKAL, VETTOOR, CHERUNNIYOOR, VARKALA,
THIRUVANANTHAPURAM, PIN - 695142
BY ADVS.
JAYASREE K.P.
JOHN JOSEPH
RESPONDENTS:
1 KERALA STATE CO-OPERATIVE BANK LIMITED,
THIRUVANANTHAPURAM REGIONAL OFFICE,
STATE CO-OP BANK BUILDING, OVERBRIDGE JUNCTION,
THIRUVANANTHAPURAM
REPRESENTED BY CHIEF MANAGER., PIN - 695001
2 AUTHORIZED OFFICER,
KERALA STATE CO-OPERATIVE BANK LIMITED,
THIRUVANANTHAPURAM REGIONAL OFFICE,
STATE CO-OP BANK BUILDING, OVERBRIDGE JUNCTION,
THIRUVANANTHAPURAM, PIN - 695001
BY ADV THOMAS ABRAHAM
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 23.05.2024, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
WP(C) No.16140 of 2024
2
JUDGMENT
Dated this the 23rd day of May, 2024
The petitioner has approached this Court aggrieved by
the coercive proceedings for recovery of financial advance
made by the Kerala State Co-operative Bank Limited to the
petitioner, invoking the provisions of the Securitisation and
Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002.
2. The Bank paid ₹17.5 lakhs to the petitioner as
Mortgage Loan in the year 2016. 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 instalments 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
instalments, the Bank authorities were not yielding. The
authorities, instead, started coercive proceedings, invoking
the provisions of the Securitisation and Reconstruction of
Financial Assets and Enforcement of Security Interest Act,
2002 and the Security Interest (Enforcement) Rules, 2002 and
issued Ext.P6 notice.
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 instalments. 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 2016. 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 Securitisation and Reconstruction of
Financial Assets and Enforcement of Security Interest Act,
2002. The impugned Ext.P6 was 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 remit the overdue amount
in instalments, 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 02.05.2024 is ₹34,01,756/- and the overdue
amount as on 02.05.2024 is ₹23,27,600/-.
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 overdue
amount of ₹23,27,600/- in 15 consecutive
and equal monthly instalments along with
accruing interest and other Bank charges, if
any. First of such instalments shall be paid
on or before 24.06.2024.
(ii) If the petitioner commits single default
in making payments as directed above, the
respondents will be at liberty to continue with
the coercive proceedings against the
petitioner in accordance with law.
(iii) The petitioner shall also pay current
EMIs along with the aforesaid payments.
(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) 16140/2024
PETITIONER EXHIBITS
Exhibit P1 A TRUE COPY OF THE JUDGMENT DATED
18.12.2019 PASSED BY THIS HONOURABLE
COURT IN WPC 34383 OF 2019
Exhibit P2 A TRUE COPY OF THE REMITTANCE SLIP
DATED 04.02.2020 OBTAINED BY THE
PETITIONER FROM THE RESPONDENT BANK
FOR THE PAYMENT OF RS 50,000 TO THE
LOAN ACCOUNT
Exhibit P3 A TRUE COPY OF THE REMITTANCE SLIP
DATED 28.02.2020 OBTAINED BY THE
PETITIONER FROM THE RESPONDENT BANK
FOR THE PAYMENT OF RS 40,000 TO THE
LOAN ACCOUNT
Exhibit P4 A TRUE COPY OF THE REMITTANCE SLIP
DATED 23.03.2020 OBTAINED BY THE
PETITIONER FROM THE RESPONDENT BANK
FOR THE PAYMENT OF RS 80,000 TO THE
LOAN ACCOUNT
Exhibit P5 A TRUE COPY OF THE DEATH CERTIFICATE
DATED 20.05.2023 ISSUED FROM THE
CORPORATION OF KOCHI CERTIFYING THE
DEATH OF THE PETITIONER'S HUSBAND
Exhibit P6 A TRUE COPY OF THE DEMAND NOTICE DATED
11.10.2023 ISSUED BY THE RESPONDENT
BANK TO THE PETITIONER
Exhibit P7 A TRUE COPY OF THE MAHAZAR DATED
14.02.2024 ISSUED BY THE 2ND
RESPONDENT, AUTHORISED OFFICER TO THE
PETITIONER
Exhibit P8 A TRUE COPY OF THE RELEVANT PAGE OF
THE DESHABHIMANI DAILY DATED
18.02.2024 CONTAINING THE DETAILS OF
SYMBOLIC POSSESSION TAKEN BY THE
RESPONDENT BANK IN RESPECT OF
PETITIONER'S PROPERTY
