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Jessan v. Sepcial Sale Officer, Thrissur Sahakarana Karshika Grama Vikasan Bank

Kerala HC28 Feb 2018WP(C)/2569/2018

Case brief

AI extract

What is this about?

The petitioner sought to quash a bank's sale notice and direct payment of loan dues in instalments. The Court, noting a renewed application by the petitioner to pay arrears, directed the bank to accept payment in eight monthly instalments pending the official scheme.

What did the court decide?

Petitioner directed to pay outstanding loan in 8 equal monthly instalments; recovery proceedings pending sale notice stayed if default-free.

Jessan Vs Sepcial Sale Officer, Thrissur Sahakarana… — Banking and Recovery | Kerala HC (2018)

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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 ANIL K.NARENDRAN

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WEDNESDAY, THE 28TH DAY OF FEBRUARY 2018 / 9TH PHALGUNA, 1939

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WP(C).No. 2569 of 2018

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PETITIONER:

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JESSEN, S/O. LATE MANKUNNEL ABRAHAM, MANKUNNEL HOUSE, P.O. MANNAMANGALAM, THRISSUR

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BY ADV.SRI.I.DINESH MENON

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RESPONDENT(S):

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1. SEPCIAL SALE OFFICER, THRISSUR SAHAKARANA KARSHIKA GRAMA VIKASAN BANK LTD NO. 329,THRISSUR-680 003.

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2. THE SECRETARY, THRISSUR SAHAKARANA KARSHIKA GRAMA VIKASAN BANK LTD NO. 329,THRISSUR-680 003.

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R2 BY ADVS. SRI.M.R.VENUGOPAL SMT.DHANYA P.ASHOKAN

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 28-02-2018,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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PBS

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WP(C).No. 2569 of 2018 (U)

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APPENDIX

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PETITIONER(S)' EXHIBITS

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EXHIBIT P1 TRUE COPY OF THE BANK PASS BOOK. EXHIBIT P2 TRUE COPY OF REQUEST DATED 06.01.2018. EXHIBIT P3 TRUE COPY OF THE SALE NOTICE DATED 18.01.2018 EXHIBIT P4 TRUE COPY OF THE CASH DEPOSIT DATED 27.02.2018

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RESPONDENT'S EXHIBIT NIL

/TRUE COPY/

PA TO JUDGE

PBS 03/03/2018

ANIL K.NARENDRAN, J.

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W.P.(C).No.2569 of 2018

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Dated this the 28^th day of February, 2018

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J U D G M E N T

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The petitioner, who availed a loan from the 2^nd respondent Bank for a sum of 5,00,000/- in the year 2014, is before this Court in this₹ writ petition filed under Article 226 of the Constitution of India, seeking a writ of certiorari to quash Ext.P3 sale notice dated 18.01.2018 issued by the 1^st respondent Special Sale Officer and also a writ of mandamus commanding the respondents to consider Ext.P2 request dated 06.01.2018 made by him to pay the loan amount demanded in Ext.P3 sale notice (Serial No.7) in 20 equal monthly instalments.

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On 24.01.2018, when this writ petition came up for admission, this Court issued urgent notice on admission by speed post to the respondents. This Court has also granted an interim stay of operation and all further proceedings pursuant to Ext.P3 sale notice intending to sell the residential house of the petitioner, for a period of one month, on condition that the petitioner deposits a sum of 25,000/- with the 2₹ nd respondent on 25.01.2018 and a further sum of 25,000/- within a₹ period of one week thereafter.

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Seeking extension of time for payment of the second instalment of 25,000/-, the petitioner has filed I.A.No.3748/2018.₹ Today, when the case is taken up for consideration, the learned counsel

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W.P.(C)No.2569 of 2018

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:-2-:

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for the petitioner would submit that the petitioner has already paid the second instalment on 27.02.2018.

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Heard the learned counsel for the petitioner and also the learned counsel for the 2^nd respondent Bank.

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The learned counsel for the petitioner would submit that the petitioner is prepared to clear the entire amount outstanding in the loan transaction in question, for which, he requires a reasonable time.

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The learned counsel appearing for the 2^nd respondent Bank would submit that the total amount outstanding in respect of the loan transaction in question comes to 5,65,000/- and the total overdue₹ amount comes to 3,55,000/-. The 2₹ nd respondent Bank has no objection in this Court granting a reasonable time to the petitioner to pay off the entire dues in monthly instalments. The learned counsel would also submit that, the petitioner can also avail the benefit of One Time Settlement under Navakeraleeyam Kudisika Nivaranam-2018. For availing that benefit, he can make an application before the 2^nd respondent Bank, in which event, the same shall be dealt with appropriately in terms of the said Scheme.

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The learned counsel for the petitioner would submit that the petitioner shall pay off the entire amount outstanding in respect of the loan transaction in question in monthly instalments, without prejudice to his right to avail One Time Settlement facility.

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W.P.(C)No.2569 of 2018

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:-3-:

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Having considered the submissions made by the learned counsel on both sides, this writ petition is disposed of with the following directions :

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The petitioner shall pay off the entire balance amount outstanding in respect of the loan transaction in question in eight equal monthly instalments commencing from 08.03.2018 and the subsequent instalments payable on or before the 8^th day of the succeeding months.

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If the petitioner is remitting the aforesaid instalments in time, without any default, all recovery proceedings pursuant to Exts.P3 (Sl.No.7) shall be kept in abeyance, so as to enable the petitioner to pay off the entire dues as above.

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In case of any default committed by the petitioner in remitting any one of the aforesaid instalments, it would be open to the respondents to proceed further with the coercive steps, in accordance with law.

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It is made clear that this judgment will not stand in the way of the petitioner availing the benefit of One Time Settlement under

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W.P.(C)No.2569 of 2018

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:-4-:

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Navakeraleeyam Kudisika Nivaranam-2018, by making a proper application after complying with the requirements under the said Scheme and the 2^nd respondent Bank considering the same in accordance with that Scheme.

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Sd/-

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ANIL K.NARENDRAN JUDGE

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AV/28/2

Jessan v. Sepcial Sale Officer, Thrissur Sahakarana Karshika Grama Vikasan Bank

Case brief

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What did the court decide?

Jessan v. Sepcial Sale Officer, Thrissur Sahakarana Karshika Grama Vikasan Bank

Case brief

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What did the court decide?

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