Disposed

Benny v. Dewan Housing Finance Corporate Ltd.

Kerala HC14 Feb 2020WP(C)/1735/2020

Case brief

AI extract

What is this about?

The Court observed the writ petition challenging a SARFAESI notice was prima facie not maintainable. However, since the bank submitted an undertaking to accept a specific repayment proposal if the petitioner deposited a sum of Rs. 7 lakhs, the Court disposed of the writ petition by binding the parties to that proposal with strict conditions regarding initial payments, allowing recovery action if d

What did the court decide?

Writ petition disposed of; petitioner bound to pay Rs. 2 lakhs by Feb 28 and Rs. 5 lakhs by Mar 28, balance in three equal instalments; bank may recover upon default.

Benny Vs Dewan Housing Finance Corporate Ltd. — Contract and Commercial Disputes | Kerala HC (2020)

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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 AMIT RAWAL

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FRIDAY, THE 14TH DAY OF FEBRUARY 2020 / 25TH MAGHA, 1941

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WP(C).No.1735 OF 2020(N)

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PETITIONERS:

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1 BENNY

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AGED 52 YEARS S/O. MATHEW, ALAPPAT HOUSE, EDAMUTTAM DESOM, VALAPPAD VILLAGE, CHAVAKKAD TALUK, TRISSUR DISTRICT.

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2 SHEEBA BENNY, W/O. BENNY, ALAPPAT HOUSE, EDAMUTTAM DESOM, VALAPPAD VILLAGE, CHAVAKKAD TALUK, TRISSUR DISTRICT.

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3 BABY MATHEW, W/O. MATHEW, ALAPPAT HOUSE, EDAMUTTAM DESOM, VALAPPAD VILLAGE, CHAVAKKAD TALUK, TRISSUR DISTRICT.

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BY ADV. SRI.T.N.MANOJ

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RESPONDENTS:

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1 DEWAN HOUSING FINANCE CORPORATE LTD (DHFL) TRISSUR BRANCH OFFICE REPRESENTED BY ITS MANGER, SALPA COMPLEX, 2ND FLOOR, NEAR WEST FORT CONJUNCT, MG ROAD, TRISSUR 680 004.

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2 DEWAN HOUSING FINANCE CORPROATATE LTD DHFL, CORPORATE OFFICE, REPRESENTEND BY ITS MANGER, DREAMS MALL, 19, SAHAR ROAD, FIRST FLOOR , LBS MARG, BHANDUP WEST, MUMBAI 400078.

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R1-2 BY ADV. SRI.P.PAULOCHAN ANTONY

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 14.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

Wpc 1735/2020

JUDGMENT

 The petitioner has approached this court for invoking
the power under Article 226 by challenging the notice
issued under Section 13(2) of the SARFAESI Act. Prima
facie, the writ petition is not maintainable. However,
counsel for the respondent Bank submits that loan facility
for Rs.60,00,000/- was obtained by the petitioner for
running the workshop of Bajaj Scooters and Motor bikes
under the name and style ' Friends Motors”. It was
thereafter pledged/mortgaged with the 1st respondent and
availed a loan for Rs.88 lakhs. The EMI was fixed as
Rs.1,01995/- to be paid every month. Petitioner defaulted
the instalments and notice under Section 13(2) of the
SARFAESI Act was issued, vide Ext.P1 dated 28.08.2019.

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2. Out the outset, I had already observed that the writ
petition is not maintainable. However the standing counsel
for the bank, on instructions, submits that as on
01.02.2020, the over due amount is Rs.13,14,753/-. If the
petitioner shows his bonafides and deposits some amount,
ie 7 lakhs (2 lakhs in February and 5 lakhs in March) and
the remaining in three equal instalments, further action will
be dropped. This will not preclude the petitioner to pay the

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Wpc 1735/2020

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regular instalments due in the coming months.

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3. Counsel for the Bank on instructions from the client

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has undertaken to accept the above proposal.

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4. Writ petition is disposed of binding the parties with
the aforementioned proposal. Petitioner would pay a sum
of Rs.2,00,000/- (Rupees Two lakhs only) on or before 28th
February, 2020 and Rs.5,00,000/- (Rupees Five lakhs only)
on or before 28th March 2020 and the remaining amount
shall be paid in three equal instalments. If the petitioner
deviates from the above conditions or makes default of
initial payments of Two lakhs and Five lakhs or any
instalments, bank shall be at liberty to take action for
recovery of the amount in accordance with law.

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Writ petition stands disposed of.

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Sd/-AMIT RAWAL, JUDGE

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Lgk

Wpc 1735/2020

APPENDIX

PETITIONER'S/S EXHIBITS:

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EXHIBIT P1 TRUE COPY OF THE NOTICE DATED 28/8/2019 ISSUED TO THE PETITIONERS UNDER SECTION 13(2) OF HE SARFAESI ACT.

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EXHIBIT P2 TRUE COPY OF THE NOTICE DATED 16/8/2019 ISSUED TO THE PETITIONERS UNDER SECTION 138 OF THE NEGOTIABLE INSTRUMENTS ACT.

Benny v. Dewan Housing Finance Corporate Ltd.

Case brief

What is this about?

What did the court decide?

Benny v. Dewan Housing Finance Corporate Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

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