Kerala High Court
Mrs. Domanica Benny vs State Of Kerala on 4 April, 2025
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IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE GOPINATH P.
FRIDAY, THE 4TH DAY OF APRIL 2025 / 14TH CHAITHRA, 1947
WP(C) NO. 9263 OF 2025
PETITIONERS:
1 MRS. DOMANICA BENNY,
AGED 50 YEARS, W/O. BENNY,
RESIDING AT PUTHENAPURACKAL, POLLETHAI, KALAVOOR,
POLLETHAI P.O., ALAPUZHA, PIN - 688 522.
2 BENNY,
AGED 56 YEARS, S/O. JOSEPH,
RESIDING AT PUTHENAPURACKAL, POLLETHAI, KALAVOOR,
POLLETHAI P.O., ALAPUZHA, PIN - 688 522.
BY ADVS.
LIZA MEGHAN CYRIAC
JOLLY JOHN
C.S.RESHMI
IRENE BABU
MEHNAZ P. MOHAMMED
RUBIN SHIBU
RESPONDENTS:
1 STATE OF KERALA,
REPRESENTED BY ITS SECRETARY,
DEPARTMENT OF FISHERIES, SECRETARIAT,
THIRUVANANTHAPURAM, PIN - 695 001.
2 RESERVE BANK OF INDIA,
REP. BY ITS GOVERNOR, HEAD OFFICE AT 6TH FLOOR,
CENTRAL OFFICE BUILDING, SHAHID BHAGAT SINGH
ROAD, MUMBAI, PIN - 400 001.
3 STATE POLICE CHIEF,
STATE POLICE HEADQUARTERS, VELLAYAMBALAM,
THIRUVANANTHAPURAM, PIN - 695 010.
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WP(C) 9263/2025 2
4 DIRECTOR,
DIRECTORATE OF FISHERIES, VIKAS BHAVAN,
THIRUVANANTHAPURAM, PIN - 695 033.
5 THE KERALA FISHERMEN DEBT RELIEF COMMISSION,
T.C. 11/683-1&29, NALANDA ROAD, NANTHANCODU,
THIRUVANANTHAPURAM, KERALA , PIN - 695 033,
REPRESENTED BY ITS SECRETARY.
6 KERALA STATE LEGAL SERVICES AUTHORITY,
NIYAMA SAHAYA BHAVAN, HIGH CT RD, COMPOUND,
KOCHI, ERNAKULAM, PIN - 682 031,
REPRESENTED BY ITS MEMBER SECRETARY.
7 MAHINDRA RURAL HOUSING FINANCE LTD.,
UNIT NO. 203, AMITI BUILDING,
PIRAMAL AGASTYA CORPORATE PARK,
OPPOSITE FIRE BRIGADE STATION, KAMANI JUNCTION,
L.B.S MAIN ROAD, KURLA (WEST) MUMBAI,
REPRESENTED BY ITS AUTHORIZED OFFICER,
PIN - 400 070.
8 AUTHORIZED OFFICER,
MAHINDRA RURAL HOUSING FINANCE LTD.,
3RD 1ST FLOOR ROS COMPLEX, NEDUMPRAKKAD,
CHERTHALA, KERALA, PIN - 688 524.
BY ADVS.
M.A.JOSEPH MANAVALAN (FOR R7 & R 8)
BEA MARY BENNY(K/000129/2021)
JOSEPH C.J.(K/3425/2022)
ANANTHAKRISHNAN R.(K/873/2023)
T.G.SUNIL, SC
SREEJITH V.S. (GP)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 04.04.2025, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
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WP(C) 9263/2025 3
JUDGMENT
Petitioners availed financial assistance from
respondents 7 and 8. On default being committed,
proceedings were initiated against the petitioners under
the provisions of the Securitisation and Reconstruction of
Financial Assets and Enforcement of Security Interest Act
(SARFAESI Act). It appears that the disputes were settled
in a Lok Adalath conducted by the Ambalappuzha Taluk
Legal Services Committee, under which the petitioners
were permitted to clear the entire liability by paying a sum
of Rs.1,70,000/- in total against the liability of
Rs.4,10,000/-. However, the petitioners failed to comply
with the terms on which they were permitted to settle the
loan liability by paying a sum of Rs.1,70,000/- .
2. The learned counsel appearing for
respondents 7 and 8 would submit that since the
petitioners failed to pay the amount within the time
specified in Ext.P6 award of the Lok Adalath,
respondents 7 and 8 are no longer willing to accept the
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payment of Rs.1,70,000/- in full and final settlement. It is
submitted that the present overdue amount is Rs.3,27,169/-
(as on 10-03-2025) and there is no objection in allowing
the petitioners to pay off the said amount in some
instalments.
3. The learned counsel appearing for the petitioners
submits that the 2nd petitioner is a fisherman. It is
submitted that the petitioners are entitled to relief from
the Kerala State Fishermen Debt Relief Commission. It is
submitted that in the alternative, the petitioners are
entitled to clear the liability by paying the amount specified
in the award of the Lok Adalath. The learned counsel also
submits that the interest charged by respondents 7 and 8
is excessive and they have acted in violation of the Fair
Practices Code for Lenders issued by the Reserve Bank of
India.
4. The learned counsel appearing for the Kerala State
Fishermen Debt Relief Commission would submit that the
claim of the petitioners cannot be considered by the
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Fisherman Debts Relief Commission, as the jurisdiction of
the Commission extends only to loans availed till
31-12-2007.
5. Having heard the learned counsel appearing for
the petitioners, the learned counsel appearing for
respondents 7 and 8 and the learned counsel appearing for
the Kerala State Fishermen Debt Relief Commission and in
the facts and circumstances noticed above, I am of the
view that the only relief that can be granted to the
petitioners is the permission to pay off the overdue amount
in some instalments. The petitioners are clearly not
entitled to the benefit of any proceedings under the Kerala
Fishermen Debt Relief Commission Act, 2008. The
petitioners are also not entitled to the benefit of the
settlement arrived at before the Lok Adalath on account of
the fact that the petitioners failed to comply with the terms
of settlement. The question regarding rate of interest
cannot be adjudicated in a writ petition under Article 226
of the Constitution of India. Apart from a bare allegation
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that respondents 7 and 8 have acted in violation of the Fair
Practices Code for Lenders, there is no specific averment
that would even prima facie suggest that such an
allegation has any basis.
6. Faced with this situation, the learned counsel for
the petitioner seeks permission to clear the liability in
installments.
7. This writ petition is clearly not maintainable in the
light of the law laid down by the Supreme Court in
S. Shobha v. Muthoot Finance Ltd; 2025 SCC OnLine
SC 177. However, the learned counsel for the
respondents 7 and 8 has no objection to some installments
being granted.
8. Accordingly, there will be a direction to the
respondents 7 and 8 to accept repayment of the entire
overdue amount of Rs.3,27,169/- along with any accrued
interest, costs and charges from the petitioners and
regularize the loan account of the petitioners in the
following manner:
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(i) The petitioners shall pay the overdue amount of
Rs.3,27,169/- together with any accrued interest, costs
and charges in 15 equated monthly installments;
(ii) The first installment shall be paid on or before
30-04-2025. The subsequent installments shall be paid on
or before the last working day of the succeeding months;
(iii) Petitioners shall continue to pay the regular
EMI's/installments along with the installments as directed
above;
(iv) In the event of default of any one installment, the
respondent financial institution shall be entitled to proceed
in accordance with the law;
(v) In order to enable the petitioners to repay the
entire amounts, all coercive proceedings shall be kept in
abeyance.
The writ petition is disposed of as above.
Sd/-
GOPINATH P.
JUDGE
ats
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APPENDIX OF WP(C) 9263/2025
PETITIONERS' EXHIBITS
Exhibit P1 TRUE COPY OF THE IDENTITY CARD ISSUED BY
THE KERALA FISHERMAN WELFARE FUND BOARD
Exhibit P2 TRUE COPY OF SOME OF THE RECEIPTS ISSUED BY
THE 7TH RESPONDENT FOR THE REPAYMENTS MADE
BY THE PETITIONERS
Exhibit P3 TRUE COPY OF THE NOTICE OF POSSESSION DATED
22.10.2024 ISSUED BY THE 8TH RESPONDENT
Exhibit P4 TRUE COPY OF THE MASTER CIRCULAR ISSUED BY
NATIONAL HOUSING BANK DATED JULY 01, 2016
WITH THE RELEVANT CIRCULARS PERTAINING TO
THE WRIT PETITION
Exhibit P5 TRUE COPY OF THE NEWSPAPER REPORT PUBLISHED
BY 'THE HINDU' DATED 24.03.2025 ABOUT A
STUDY CONDUCTED BY CENTRAL MARINE FISHERIES
RESEARCH INSTITUTE ON FISHERMAN COMMUNITY
HIT BY CLIMATE CHANGE
Exhibit P6 TRUE COPY OF THE SETTLEMENT AGREEMENT DATED
27.11.2024 SIGNED BETWEEN THE PETITIONER
AND THE 7TH RESPONDENT BEFORE THE LOK
ADALAT CONDUCTED BY THE 6TH RESPONDENT
Exhibit P7 TRUE COPY OF THE LETTER IN ENGLISH DATED
31.03.2025 SEND BY THE PETITIONER TO THE
7TH RESPONDENT
Exhibit P8 TRUE COPY OF THE RECEIPT OF SPEED-POST OF
EXHIBIT P7 LETTERS TO THE 7TH AND 8TH
RESPONDENT
Exhibit P9 TRUE COPY OF THE COMPLAINT SENT TO 2ND
RESPONDENT BY THE 2ND PETITIONER WITHOUT
ANNEXURES DATED 02.04.2025
