Partly allowed

Ponnamma John v. the Primary Co-Operative Agricultural and Rural Development Bank

Kerala HC30 Aug 2016WP(C)/22815/2016

Case brief

AI extract

What is this about?

Petitioner challenged recovery action regarding defaulted loans secured by mortgaged property. Court ordered petitioner to pay overdue amount in installments and bank to provide account statement, with provision to regularize loan on successful representation. Writ petition disposed.

What did the court decide?

Directed to pay overdue amount in eight equated monthly installments starting 15.09.2016; bank to provide account statement and regularize loan on suitable representation.

Ponnamma John Vs the Primary Co-Operative Agricultural… — Banking and Recovery | Kerala HC (2016)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT:

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THE HONOURABLE MR. JUSTICE SHAJI P.CHALY

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TUESDAY, THE 30TH DAY OF AUGUST 2016/8TH BHADRA, 1938

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WP(C).No. 22815 of 2016 (B)

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PETITIONER(S):

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PONNAMMA JOHN

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W/O.JOHN, THEJUS BHAVAN, MUNDAPALLY, KOTTANALLUR, MANAKKALA P.O., ADOOR.

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BY ADVS.SRI.MANSOOR.B.H. SMT.NITHYA SASI

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RESPONDENT(S):

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1. THE PRIMARY CO-OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK ADOOR P.O., ADOOR, REPRESENTED BY ITS SECRETARY 691 554.

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2. SPECAL SALE OFFICER

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THE PRIMARY CO-OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK, ADOOR P.O., ADOOR 691 554.

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R1 BY ADVS. SRI.GEORGE ABRAHAM PACHAYIL

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SMT.JEBI MATHER HISHAM

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SRI.K.DILIP

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SRI.ARUN PAUL (KAPRASSERY)

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THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 30-08-2016,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C).No. 22815 of 2016 (B)

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APPENDIX

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PETITIONER(S)' EXHIBITS

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P1: TRUE COPY OF THE NOTICE ISSUED BY THE SECOND RESPONDENT TO THE PETITIONER, UNDER SEC. 20 RULE 8 (C) OF THE KERALA STATE CO OPERATIVE AGRICULTURE AND DEVELOPMENT BANK ACT DATED 27/10/2014

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P2 TRUE COPY OF THE STATEMENT OF ACCOUNTS ISSUED BY THE FIRST RESPONDENT DATED 24/6/2016

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RESPONDENT(S)' EXHIBITS : NIL.

//TRUE COPY//

P.A. TO JUDGE

SHAJI P. CHALY, J

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W.P.(C)NO.22815 OF 2016

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Dated this the 30^th day of August, 2016

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J U D G M E N T

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Petitioner has availed financial assistance from

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the respondent bank to the tune of Rs.14,75,000/(Rupees fourteen lakhs seventy five thousand only) in the year 2012, by way of five loan accounts, by mortgaging immovable property. Admittedly, petitioner failed to repay the loan amounts in terms of the agreements, consequent to which first respondent has initiated action to recover the amount by issuing Exts.P1 and P2 series of notices. It is in this background challenging coercive action of the first respondent bank, petitioner has filed this writ petition.

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Heard learned counsel for the petitioner, learned counsel appearing for the first respondent bank and perused the documents on record and the pleadings. Learned counsel for the petitioner

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W.P.(C)NO.22815 OF 2016 2

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expressed the intention of the petitioner for repay the overdue outstanding loan amounts in reasonable equated monthly installments. Learned counsel for the first respondent bank submitted that, the amounts were secured by the petitioner in five loan accounts and in all the loan accounts amounts are overdue. Altogether, an amount of Rs.12,41,230/- (Rupees twelve lakhs forty one thousand two hundred and thirty only) is due from the petitioner. However, the overdue as on 30.07.2016 is Rs.5,38,970/- (Rupees five lakhs thirty eight thousand nine hundred and seventy only). Therefore, there will be direction to the petitioner to pay the overdue amount specified above, in eight equated monthly installments starting from 15.09.2016 and on the same day of the succeeding months. Needless to say, if any of the installments is defaulted by the petitioner, bank will be at liberty to pursue action against the petitioner resurrecting Exts.P1 and P2 notices. In order to enable the petitioner to pay the amount in equated monthly installments, bank shall furnish a statement of accounts to the petitioner

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W.P.(C)NO.22815 OF 2016

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within two weeks. Along with the first installment if the petitioner makes suitable representation to regularise the loan, the first respondent bank shall take necessary steps to regularise the loan in accordance with the terms already provided under the agreements.

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Writ petition is disposed of accordingly.

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sd/-

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SHAJI P. CHALY, JUDGE

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R.AV

Ponnamma John v. the Primary Co-Operative Agricultural and Rural Development Bank

Case brief

What is this about?

What did the court decide?

Ponnamma John v. the Primary Co-Operative Agricultural and Rural Development Bank

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

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