Uppalapati Venkaiah Nayudu Vs the Union of India

The present Writ Petition has been filed seeking to direct 3^rd respondent – Shriram Finance Limited to consider the letters of the petitioner dated 18.12.2025 and 07.01.2026 and grant three (3) years’ time for repayment of entire loan amount due to a tune of Rs.17,10,971/- under One Time Settlement Scheme.

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Case of the petitioner, in brief, is that, in the year 2021 he borrowed a mortgage loan of Rs.15,00,000/- from 3^rd respondent

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SRK, J WP No.2596 of 2026

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– Finance Company by mortgaging his house property bearing Door No.1-100, in an extent of Ac.0.12 cents, situated at Survey No.54/10 of Sivarampuram Grama Panchayat, Sivarampuram village, Talluru Mandal, Markapuram Registration district, which is repayable at Rs.46,193/- per month in sixty (60) equal monthly instalments. He repaid an amount of Rs.10,60,609/- and balance loan amount due approximately is Rs.17,10,971/-. Grievance of the petitioner is that he addressed letters dated 18.12.2025 and 07.01.2026 requesting 3^rd respondent for grant of three (3) years’ time for repayment of the said loan amount due under One Time Settlement Scheme, but 3^rd respondent instead of granting OTS Scheme is trying to interfere with his peaceful possession of mortgaged immovable house property, without following the guidelines issued by the Reserve Bank of India.

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Learned counsel for the petitioner submits that since the petitioner has been hospitalized due to ill-health and incurred huge amount for treatment, he is not in a position to pay the loan instalments, he addressed letters to 3^rd respondent for grant of three (3) years’ time for repayment of balance loan amount under OTS Scheme. Copies of medical record have been filed along with material papers of the Writ Petition. However, he further submits that the petitioner undertakes to pay the balance loan amount due in twelve (12) equal monthly instalments.

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On the other hand, learned counsel for the respondents submits that in spite of issuing a notice under Section 13(2) of the Securitization and Reconstruction of Financial Assets and

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SRK, J WP No.2596 of 2026

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Enforcement of Security Interest Act, 2002, the petitioner has not come forward to pay the outstanding loan amount.

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Irrespective of the same, keeping in view the health condition of the petitioner, the difficulty expressed by him in repaying the balance loan amount and taking into consideration the undertaking given by the learned counsel for the petitioner, the petitioner is hereby directed to pay initially 15% of the total outstanding loan amount to 3^rd respondent immediately. The petitioner is permitted to pay the remaining amount in twelve (12) equal monthly instalments, commencing from the date of receipt of a copy of this order. It is made clear that, in the event the petitioner fails to pay the balance loan amount, as directed above, the respondents are at liberty to proceed in accordance with law.

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