The High Court directed the bank to stay recovery proceedings if the petitioner pays the total overdue amount of Rs. 1,25,139/- plus interest in three monthly installments, provided future payments are made on schedule.
Recovery proceedings stayed pending payment of Rs. 1,25,139/- plus interest in three monthly installments starting 28.03.2016.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT:
THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR
WEDNESDAY, THE 16TH DAY OF MARCH 2016/26TH PHALGUNA, 1937
WP(C).No. 28663 of 2014 (G)
PETITIONER(S):
RAJ KUMAR P, SORAMIA, MALAYAM P.O., THIRUVANANTHAPURAM.
BY ADVS.SRI.SUMAN CHAKRAVARTHY
SRI.A.S.ANILKUMAR SMT.BREJITHA UNNIKRISHNAN
RESPONDENT(S):
1. THE AUTHORIZED OFFICER, CAN FIN HOMES LTD, TC NO.28/2452, M.G.ROAD, THIRUVANANTHAPURAM.
2. THE CAN FIN HOMES LTD, THIRUVANANTHAPURAM, REPRESENTED BY ITS CHIEF MANAGER, TC NO.28/2452, M.G.ROAD, THIRUVANANTHAPURAM.
BY ADV. SRI.C.AJITH KUMAR
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 16-03-2016, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
PJ
WP(C).No. 28663 of 2014 (G)
APPENDIX
PETITIONER(S)' EXHIBITS
EXT.P1.TRUE COPY OF THE NOTICE DATED 30/3/2012.
EXT.P2.TRUE COPY OF THE LETTER DATED 14/10/2014.
RESPONDENT(S)' EXHIBITS
NIL.
/ TRUE COPY /
P.S. TO JUDGE
PJ
A.K.JAYASANKARAN NAMBIAR, J.
............................................................. W.P.(C).No.28663 of 2014
............................................................. Dated this the 16th day of March, 2016
J U D G M E N T
The petitioner, who had availed of a loan from the respondent bank, defaulted in repayment of the same. Consequently, the respondent bank initiated proceedings under the Securitisation and Reconstructions of Financial Assets and Enforcement of Security Interest Act, 2002, hereinafter referred to as the 'SARFAESI Act', to recover the loan amounts. Ext.P1 is the possession notice. In the writ petition, the petitioner impugns the steps initiated by the respondent bank for recovery of the loan amounts.
W.P.(C). No.28663 of 2014
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amounts outstanding to the respondent bank in easy installments. Taking into account the plea of financial hardship raised by the petitioner, I dispose the writ petition with the following directions:-
(i) The total overdue amount, in respect of the loan availed by the petitioner as on today is stated to be Rs.1,25,139/-. Accordingly, if the petitioner pays the said amount of Rs.1,25,139/- together with accrued interest in three equal and successive monthly installments commencing from 28.03.2016, and continues to keep up the regular installment payments as per the original loan schedule, then the further proceedings initiated against him by the respondent bank shall be kept in abeyance.
(ii) It is further made clear that if the petitioner commits a default in respect of any of the installments, he will lose the benefit of this judgment and the respondent bank will be free to continue the recovery proceedings against him from the stage at which they presently stand.
(iii) The respondent bank shall, within ten
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W.P.(C). No.28663 of 2014
days from today, provide the petitioner with an up-to-date statement of accounts so as to enable the petitioner to discharge the liability in accordance with the directions in this judgment.
A.K.JAYASANKARAN NAMBIAR JUDGE
mns/16.3.16
1 issue framed by the court
Whether a loan defaulter can be permitted to remit overdue amounts in installments to prevent further recovery proceedings.
RAJ KUMAR P
CAN FIN HOMES LTD
A.K.JAYASANKARAN NAMBIAR
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
