Kerala High Court
Sunny Abraham vs The State Of Kerala on 17 October, 2024
Author: N.Nagaresh
Bench: N.Nagaresh
2024:KER:77839
W.P.(C) No.29606/2024
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IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
THURSDAY, THE 17TH DAY OF OCTOBER 2024/25TH ASWINA, 1946
WP(C) NO. 29606 OF 2024
PETITIONER:
SUNNY ABRAHAM,
AGED 55 YEARS,
INJAKKUZHIYIL HOUSE,
KATTILAPPOVAM POST,
THRISSUR DISTRICT,
KERALA STATE,
PIN - 680028
BY ADVS.
ANJALI MENON
JIBI JACOB
RESPONDENTS:
1 THE STATE OF KERALA,
REPRESENTED BY THE SECRETARY,
DEPARTMENT OF CO-OPERATION,
GOVERNMENT OF KERALA,
SECRETARIAT,
THIRUVANANTHAPURAM, PIN - 695001
2 THE JOINT REGISTRAR (GENERAL),
COOPERATIVE SOCIETIES,
OFFICE OF THE JOINT REGISTRAR OF
CO-OPERATIVE SOCIETIES,
CIVIL LANE, AYYANTHOLE,
THRISSUR, PIN - 680002
3 OLLUKKARA STATE CO.OPERATIVE BANK LTD.544
SREE LAKSHMI NAGAR, MANNUTHY,
THRISSUR, KERALA,
REPRESENTED BY ITS SECRETARY,
PIN - 680651
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W.P.(C) No.29606/2024
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4 SPECIAL SALE OFFICER,
OLLUKKARA SCB 544,
OFFICE OF THE ASSIST REGISTRAR OF
CO.OPERATIVE SOCIETIES SOCIETIES(GENERAL),
THRISSUR, PIN - 680003
BY ADVS.
SRI.ARJUN RAGHAVAN
SRI.T.R.HARIKUMAR(K/000295/1992)
SRI.POOJA PANKAJ(K/924/2016)
SMT.SHEEJA C.S., SR.GOVERNMENT PLEADER
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 17.10.2024, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
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W.P.(C) No.29606/2024
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JUDGMENT
Dated this the 17th day of October, 2024
The petitioner has approached this Court aggrieved
by the coercive proceedings for recovery of financial advance
made by the Ollukkara State Co-operative Bank Ltd. to the
petitioner, invoking the provisions of the Kerala Co-operative
Societies Act, 1969.
2. The petitioner availed three loans from the
3rd respondent-Bank in the year 2016. The petitioner states
that though the petitioner made remittances promptly during
the initial repayment period of the financial advance, he could
not pay the instalments promptly later. 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 outstanding amounts in
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easy monthly instalments, the Bank authorities were not
yielding. The authorities, instead, started coercive
proceedings, invoking the provisions of the Kerala Co-
operative Societies Act, 1969 and issued Exts.P4 to P6
notices.
4. The petitioner states that he is still in a
position to clear the outstanding 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, he 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 loans were 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 him to clear the dues. The petitioner deliberately
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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 Co-operative Societies Act, 1969.
The impugned Exts.P4 to P6 notices 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 20.09.2024 is ₹58,37,249/-.
8. I have heard the counsel for the petitioner
and the Standing Counsel representing the Bank. I have also
heard the Government Pleader representing respondents
1 and 2.
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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
account 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 ₹58,37,249/- in 20
consecutive and equal monthly installments
along with accruing interest and other Bank
charges, if any. First of such installments
shall be paid on or before 18.11.2024.
(ii) If the petitioner commits default in
making payments as directed above, the
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respondents will be at liberty to continue with
coercive proceedings against the petitioner
in accordance with law.
(iii) If the petitioner pays the amount as
directed above, any coercive proceedings
against the petitioner will stand deferred.
Sd/-
N. NAGARESH
JUDGE
SR
2024:KER:77839
APPENDIX OF WP(C) 29606/2024
PETITIONER'S EXHIBITS:
Exhibit-P1 A TRUE COPY OF THE NOTICE DATED
22.05.2024 ISSUED TO THE PETITIONER IN
Exhibit-P2 A TRUE COPY OF THE NOTICE DATED
22.05.2024 ISSUED TO THE PETITIONER IN
Exhibit-P3 A TRUE COPY OF THE NOTICE DATED
22.05.2024 ISSUED TO THE PETITIONER IN
Exhibit-P4 A TRUE COPY OF THE NOTICE ISSUED BY
THE 4TH RESPONDENT IN EP 665/2024 TO
THE PETITIONER DATED 09.07.2024
Exhibit-P5 A TRUE COPY OF THE NOTICE IN EP 666 /
2024 ISSUED BY THE 4TH RESPONDENT TO
THE PETITIONER DATED 09.07.2024
Exhibit-P6 A TRUE COPY OF THE NOTICE IN EP
667/2024 ISSUED BY THE 4TH RESPONDENT
TO THE PETITIONER DATED 09.07.2024
Exhibit-P7 TRUE COPY OF THE NOTICE ISSUED BY THE
4TH RESPONDENT
Exhibit-P8 A TRUE COPY OF THE REPRESENTATION
DATED 10.08.2024.
