Partly allowed

Jabir Cherathodika v. the Nilambur Co-Operative Urban Bank Ltd.

Kerala HC15 May 2018WP(C)/14693/2018

Case brief

AI extract

What is this about?

Court disposed of a writ petition challenging recovery proceedings under the SARFAESI Act by directing the bank to stay proceedings if the petitioner pays the overdue debt with interest in monthly installments.

What did the court decide?

Stay of recovery proceedings if the petitioner pays Rs.93,815/- plus interest in five equal monthly installments by 08.05.2018.

Jabir Cherathodika Vs the Nilambur Co-Operative Urban… — Banking and Recovery | Kerala HC (2018)

¶1

IN THE HIGH COURT OF KERALA AT ERNAKULAM

¶2

PRESENT:

¶3

THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR

¶4

TUESDAY, THE 15TH DAY OF MAY 2018 / 25TH VAISAKHA, 1940

¶5

WP(C).No. 14693 of 2018

¶6

PETITIONER(S)

¶7

JABIR CHERATHODIKA, S/O. MAMMAD, CHERATHODIKA HOUSE, KUNIPPALA, BHOODHANAM. P.O, NILAMBUR TALUK, MALAPPURAM DISTRICT.

¶8

BY ADVS.SRI.P.SAMSUDIN

¶9

SRI.JITHIN LUKOSE.

¶10

RESPONDENT(S):

¶11

1. THE NILAMBUR CO-OPERATIVE URBAN BANK LTD, REPRESENTED BY ITS AUTHORISED OFFICER, HEAD OFFICE NILAMBUR, NILAMBUR. P.O-679 329, MALAPPURAM DISTRICT.

¶12

2. THE AUTHORISED OFFICER,

¶13

NILAMBUR CO-OPERATIVE URBAN BANK LTD, NILAMBUR. P.O-679 329, MALAPPURAM DISTRICT.

¶14

BY SRI.DEVAPRASANTH. P.J., SC.

¶15

THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 15-05-2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

¶16

rs.

¶17

16/05/2018.

¶18

WP(C).No. 14693 of 2018 (J)

¶19

APPENDIX

¶20

PETITIONER'S EXHIBITS:

¶21

EXHIBIT P1 TRUE EXTRACT COPY OF THE LOAN PASS BOOK OF THE PETITIONER. EXHIBIT P2 TRUE COPY OF THE NOTICE DATED 19.01.2017 ISSUED TO THE PETITIONER. EXHIBIT P3 TRUE COPY OF THE NOTICE DATED 06.04.2018 ISSUED BY THE ADVOCATE COMMISSIONER TO THE PETITIONER.

¶22

RESPONDENT'S EXHIBITS: NIL.

//TRUE COPY//

P.S. TO JUDGE

rs. 16/05/2018.

A.K.JAYASANKARAN NAMBIAR, J.

¶27

========================

¶28

W.P.(C) No.14693 of 2018

¶29

======================== Dated this the 15^h day of May 2018

¶30

J U D G M E N T

¶31

The petitioner, who had availed 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.P2 is the notice issued to the petitioner under Section 13(2) of SARFAESI Act. In the writ petition, the petitioner impugns the steps initiated by the respondent bank for recovery of the loan amounts.

¶32

I have heard the learned counsel appearing for the petitioner as also the learned Standing counsel appearing for the respondent bank.

¶33

On a consideration of the facts and circumstances of the case and the submissions made across the bar and also taking into account the plea of financial hardship raised by the petitioner, I dispose the

¶34

W.P.(C) No.14693 of 2018

¶35

¶36

writ petition with the following directions:-

¶37

(i) The overdue amount, in respect of the loan availed by the petitioner, is stated to be Rs.93,815/-, as on 08.05.2018. Accordingly, if the petitioner pays the said amount of Rs.93,815/- together with accrued interest in five equal and successive monthly installments commencing from 05.06.2018, 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.

¶38

(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.

¶39

(iii) The respondent bank shall furnish the petitioner with an up-to-date statement, of the dues position together with interest, within ten days from today so as to enable the petitioner to discharge his liability in accordance with the directions in this judgment.

¶40

Sd/-

¶41

A.K.JAYASANKARAN NAMBIAR JUDGE

¶42

Jabir Cherathodika v. the Nilambur Co-Operative Urban Bank Ltd.

Case brief

What is this about?

What did the court decide?

Jabir Cherathodika v. the Nilambur Co-Operative Urban Bank Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Shamsudheen Vs Karthikeyan I.A.S

A.Mohammed Mustaque Vs Smt.a.S.Anooja

Joseph Cheriyan Vs the Geologist

P.Sasi Vs the Branch Manager, Indian Bank, Parassala Branch

Tintu Joseph Vs the Director General

Anilkumar.D. Vs Muhamma Grama Panchayath