Partly allowed

Nikhil V.P. v. Kozhikode District Co-Operative Bank Ltd.

Kerala HC16 Jan 2020WP(C)/687/2020

Case brief

AI extract

What is this about?

The court directed the respondent Bank to furnish an authenticated account statement and permitted petitioners to clear loan overdues in three monthly instalments by April 30, 2020. Coercive steps were stayed pending compliance.

What did the court decide?

Directed bank to furnish authenticated account statement; permitted clearing of overdues in three instalments by 30.04.2020; stayed coercive proceedings pending compliance.

Nikhil V.P. Vs Kozhikode District Co-Operative Bank Ltd. — Banking and Recovery | 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 ALEXANDER THOMAS

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THURSDAY, THE 16TH DAY OF JANUARY 2020 / 26TH POUSHA, 1941

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WP(C).No.687 OF 2020(I)

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PETITIONER:

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1 NIKHIL V.P. AGED 28 YEARS, S/O. NARAYANAN, VANMURA POYIL HOUSE, MANIYOOR P.O., KOZHIKODE DISTRICT, PIN-673 523.

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2 KARTHYAYANI AGED 52 YEARS, W/O. NARAYANAN, VANMURA POYIL HOUSE, MANIYOOR P.O., KOZHIKODE DISTRICT, PIN-673 523.

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BY ADVS. SRI.C.BHASKARAN SRI.LIJU. M.P SRI.JOPHY POTHEN KANDANKARY

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RESPONDENTS:

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1 KOZHIKODE DISTRICT CO-OPERATIVE BANK LTD. REG.NO.F 1635, H.O. (RECOVERY DEPARTMENT), P.B.NO.503, KALLAI ROAD, P.O. CHALAPURAM, KOZHIKODE - 673 002.

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2 AUTHORIZED OFFICER KOZHIKODE DISTRICT CO-OPERATIVE BANK LTD., REG.NO.F 1635, H.O. (RECOVERY DEPARTMENT), P.B.NO.503, KALLAI ROAD, P.O. CHALAPURAM, KOZHIKODE - 673 002. ADV.SRI.P.C.SASIDHARAN

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16.01.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C).No.687 OF 2020(I)

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ALEXANDER THOMAS, J.

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

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W.P(C) No.687 of 2020

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

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Dated this the 16^th day of January, 2020

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JUDGMENT

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The prayers in the above Writ Petition (Civil) are as follows:

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“a)Issue a writ of certiorari or any other appropriate writ or order to quash Exhibit P1.

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b) Issue a writ of Mandamus or any other writ or order or direction directing the respondent to regularise the loan after giving sufficient time to the petitioner for repaying the overdue as Instalments.

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c) Grant such other reliefs which this Honourable Court may deem fit and necessary in this case.”

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Heard Sri.C.Bhaskaran, learned counsel appearing for the petitioners, Sri.P.C.Sasidharan, learned Standing Counsel for the respondent (Kozhikode District Co-operative Bank Ltd.).

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Sri.P.C.Sasidharan, learned Standing Counsel for the respondent was requested to get instructions in the matter. Today when the matter was taken up for consideration, Sri.P.C.Sasidharan, learned Standing Counsel for the respondent-Kozhikode District Co-operative Bank would submit on the basis of instructions that as on

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WP(C).No.687 OF 2020(I)

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yesterday (15.01.2020), the overdues to be cleared by the petitioner in this loan transaction is Rs.3,16,960/- for regularising the loan account and that the respondent-Bank is prepared to give one last opportunity to the petitioner to clear the overdues on or before 31.03.2020.

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The learned counsel for the petitioner submits that the petitioner may be given facility to pay the overdues in four instalments. Due to persuasion made by this Court, it appears that the respondentBank does not appear to have very serious objection to the suggestion made by this Court that the petitioner could be given the facility to clear the overdues in instalments with the outer time limit of 30.04.2020 instead of 31.03.2020.

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Accordingly, the following directions and orders are passed:

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(i) The competent official of the respondent Bank shall immediately furnish a comprehensive and authenticated statement of account pertaining to the loan transaction in question showing the precise details thereof and the total dues to be cleared by the borrower as on the date of issuance of the said statement.

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(ii)The petitioners will clear the overdues for regularising the loan account in three equal monthly instalments viz. on or before 28.02.2020, on or before 31.03.2020 and on or before 30.04.2020, subject to the condition that the petitioners should also pay all the applicable charges and interest thereon and should also pay the regular EMIs in time. Until the expiry of the said time limit, further coercive steps in pursuance of the impugned

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WP(C).No.687 OF 2020(I)

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proceedings shall be kept in abeyance by the respondent-Bank.

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(iii) In case, the petitioners comply with all the above conditions and clears the entire dues as aforestated, then the respondent Bank may take necessary steps to ensure that the loan account of the petitioners is regularised.

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(iv) On the other hand, if the petitioners commit default of any one of the instalments, then the benefit of the abovesaid directions will stand automatically vacated without any further orders of this Court, in which case, the respondent Bank will be at liberty to proceed further with the impugned steps from the stage where it has stopped. In such an eventuality it is also ordered that the petitioners will have to give up all his contentions that are otherwise available to him to be raised in appropriate proceedings before the competent fora.

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With these observations and directions, the above Writ Petition

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(Civil) stands finally disposed of.

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Sd/-

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ALEXANDER THOMAS JUDGE

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vgd

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WP(C).No.687 OF 2020(I)

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APPENDIX

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PETITIONER'S/S EXHIBITS:

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EXHIBIT P1 A TRUE COPY OF THE DESHABHIMANI DAILY IS DATED 5.12.2018.

Nikhil V.P. v. Kozhikode District Co-Operative Bank Ltd.

Case brief

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Nikhil V.P. v. Kozhikode District Co-Operative Bank Ltd.

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