Disposed

Aldrin Joseph v. the Registrar

Kerala HC26 Oct 2018WP(C)/27121/2018

Case brief

AI extract

What is this about?

In a writ petition seeking quashing of a recovery notice and regularization of an educational loan account, the High Court of Kerala observed that the petitioner could not challenge the notice as the underlying arbitration award had attained finality. The court directed the petitioner to clear the dues in ten monthly instalments and stay recovery proceedings provided there is no default.

What did the court decide?

Petitioner to pay dues of Rs.8,60,359/- in 10 monthly instalments starting 30/11/2018; recovery proceedings kept in abeyance pending timely payment; coercive steps resume upon default.

Aldrin Joseph Vs the Registrar — Cooperative Societies | 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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FRIDAY ,THE 26TH DAY OF OCTOBER 2018 / 4TH KARTHIKA, 1940

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WP(C).No. 27121 of 2018

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PETITIONER:

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ALDRIN JOSEPH

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S/O.CHACKO, KEERANCHIRA HOUSE, MARIKKUNNU P.O., KOZHIKODE DISTRICT.

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BY ADVS. SRI.K.R.AVINASH (KUNNATH) SRI.ABDUL RAOOF PALLIPATH SRI.M.M.SHERIFF

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RESPONDENTS:

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1 THE REGISTRAR OFFICE OF THE REGISTRAR OF CO-OPERATIVE SOCIETIES CO-OPERATION DEPARTMENT, RAJAJI NAGAR MARKET ROAD,STATUE, THYCAUD, TRIVANDRUM - 695 001.

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2 THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES OFFICE OF THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES, KOZHIKODE - 673 004.

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3 THE MANAGER CHEVAYOOR SERVCIE CO-OPERATIVE BANK LTD.,NO.F 1245, PAROPADY, CHEVAYOOR, KOZHIKODE - 673 009.

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R3 BY ADVS. SMT.M.MANJU SRI.R.SUDHISH

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R1 & R2 BY ADV. SRI K.P. HARISH, SENIOR GOVERNMENT PLEADER

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 26.10.2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C).No. 27121 of 2018 2

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JUDGMENT

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The petitioner along with his brother

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availed an educational loan for a sum of Rs.5

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lakhs from the 3^rd respondent Service Cooperative Bank Ltd on 01/10/2010. The petitioner

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has filed this writ petition under Article 226 of

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the constitution of India, seeking a writ of certiorari to quash Ext.P7 demand notice dated 25/05/2018 issued by the 2^nd respondent and a writ of mandamus commanding the 3^rd respondent Bank not to take any action pursuant to Ext.P7 notice. The further relief sought for is a writ of mandamus commanding the 3^rd respondent Bank to reschedule the petitioner's loan account from housing loan to educational loan.

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On 09/08/2018, when this writ petition came up for admission, the learned Senior Government Pleader took notice on admission for respondents 1 and 2. Urgent notice on admission

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by speed post was ordered to the 3^rd respondent, returnable within three weeks. This court granted

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an interim stay of all further proceedings

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WP(C).No. 27121 of 2018 3

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pursuant to Ext.P7 demand notice for a period of one month, on condition that the petitioner deposits a sum of Rs.60,000/- with the 3^rd

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respondent Bank within a period of 2 weeks.

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came for further consideration, the learned

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counsel for the 3^rd respondent bank, on instructions, submitted that the total liability

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of the petitioner in respect of the loan

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transaction, covered by Ext.P4 award in ARC

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No.1105/16 comes to Rs.8,60,359/- as on that date. The learned counsel for the petitioner

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sought time to get instructions. Accordingly, the matter was adjourned.

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petitioner, the learned Senior Government Pleader appearing for respondents 1 and 2 and also the

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learned counsel for the 3^rd respondent Bank.

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The pleadings and materials on record

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would show that, the recovery proceedings

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initiated against the petitioner as per Ext.P7 sale notice is one in terms of Ext.P4 award dated

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WP(C).No. 27121 of 2018 4

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30/07/2016 passed by the Arbitrator, in exercise of his powers under Section 70 of the Kerala Co-

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operative Societies Act, 1969. Ext.P4 award

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passed by the Arbitrator has attained finality,

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in the absence of any appeal filed by the

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petitioner, invoking Section 82(1)(e) of the said Act, before the Co-operative Tribunal.

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Having failed to challenge Ext.P4 award

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passed by the Arbitrator by invoking the

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statutory remedy provided under the Act, the petitioner cannot raise a legal or tenable challenge against the Ext.P7 demand notice issued by the 2^nd respondent.

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The learned counsel for the petitioner

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would submit that the petitioner is prepared to pay off the entire dues in monthly instalments

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together with future interest, for which he requires a reasonable time.

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respondent Bank would submit that despite the fact that the petitioner has not chosen to make

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even a single remittance after Ext.P4 award

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WP(C).No. 27121 of 2018 5

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passed by the Arbitrator, other than the sum of Rs.60,000/- deposited in terms of the interim order of this Court dated 09/08/2018, the Bank is prepared to grant him instalment facility to pay off the entire dues, if he is prepared to pay off

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the entire dues with future interest in 10 equal monthly instalments.

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The learned counsel for the petitioner

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would submit that the petitioner shall pay off the entire dues as above.

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Having considered the submissions made

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by the learned counsel on both sides, this writ

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petition is disposed of with the following directions:

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i)The petitioner shall pay off the entire dues amounting to Rs.8,60,359/- covered by Ext.P4 award, together with future interest from

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16/10/2018 in 10 equal monthly instalments commencing from 30/11/2018 and the subsequent

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instalments payable on or before the 30^th day of the succeeding months.

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ii)If the petitioner is paying the aforesaid

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WP(C).No. 27121 of 2018 6

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instalments in time, without any default, all recovery proceedings pursuant to Ext.P7 demand notice shall be kept in abeyance, so as to enable the petitioner to pay off the entire dues as above.

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iii)In case of any default committed by the petitioner in remitting any one of the aforesaid instalments, it would be open to respondents 2 and 3 to proceed further with the coercive steps.

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Sd/-

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ANIL K.NARENDRAN JUDGE

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DK/26.10.2018

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WP(C).No. 27121 of 2018 7

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APPENDIX

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PETITIONER'S EXHIBITS:

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EXHIBIT	P1 TRUE COPY OF THE THE PETITIONER DA	SALARY CERTIFICATE OF TED MARCH 2014.
EXHIBIT	P2 TRUE COPY OF THE THE PETITIONER DA	SALARY CERTIFICATE OF TED 11.12.2017.
EXHIBIT	P3 TRUE COPY OF THE 2018 ISSUED BY SM ARNET EMMANUEL.	PAY SLIP OF JANUARY ARTAK COMPANY TO
EXHIBIT	P4 TRUE COPY OF THE RESPONDENT DATED	AWARD BY THE 2ND 30.7.2016.
EXHIBIT	P5 TRUE COPY OF G.O. DATED 16.5.2017	(P)NO.65/2017 FIN.
EXHIBIT	P6 TRUE COPY OF THE DATED 5.5.2018 IS REGISTRAR, KOZHIK RESPONDENT.	LETTER NO.1972/18 SUED BY JT. ODE TO 2ND
EXHIBIT	P7 TRUE COPY OF DEMA 25.5.2018 ISSUED RESPONDENT.	ND NOTICE DATED BY THE 2ND
EXHIBIT	P8 TRUE COPY OF THE 16.7.2018.	LETTER DATED
EXHIBIT	P9 TRUE COPY OF THE 02.08.2018 BY THE CALICUT CORPORATI	LETTER DATED MOTHER TO THE ON SECRETARY.

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RESPONDENT'S EXHIBITS : NIL

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//TRUE COPY//

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PA TO JUDGE

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DK/26.10.2018

Aldrin Joseph v. the Registrar

Case brief

What is this about?

What did the court decide?

Aldrin Joseph v. the Registrar

Case brief

What is this about?

What did the court decide?

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