Allowed

Sindhu Jose, v. Kerala State Co-Operative Bank Ltd.

Kerala HC13 Oct 2022WP(C)/13754/2022

Case brief

AI extract

What is this about?

Challenging SARFAESI proceedings, the petitioner sought a chance to clear dues via installments. The High Court directed the bank to accept overdue amounts in 20 installments and regularize the account, keeping coercive measures in abeyance.

What did the court decide?

Directing the bank to accept repayment of Rs. 20,96,489/- plus interest in 20 installments, regularize the account, and keep coercive proceedings in abeyance.

Sindhu Jose, Vs Kerala State Co-Operative Bank Ltd. — Consumer Protection | Kerala HC (2022)

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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 GOPINATH P.

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THURSDAY, THE 13TH DAY OF OCTOBER 2022 / 21ST ASWINA, 1944

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WP(C) NO. 13754 OF 2022

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PETITIONER:

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SINDHU JOSE,
AGED 45 YEARS, W/O. JOSE,
AMBILIKUNNEL, KOOVAPPALLY P.O.,
KOTTAYAM, KERALA -686 518.

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BY ADVS.

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 ARUN FRANCIS
 DEENA JOSEPH

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RESPONDENTS:

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1KERALA STATE CO-OPERATIVE BANK LTD.,
ERUMELI BRANCH,
REPRESENTED BY ITS MANAGER,
KOTTAYAM DISTRICT, PIN- 686 509.

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2 AREA MANAGER, KANJIRAPPALLY, THE KERALA STATE CO - OPERATIVE BANK LTD, REGIONAL OFFICE, KOTTAYAM- 686 001.

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3 AUTHORIZED OFFICER, THE KERALA STATE CO - OPERATIVE BANK LTD, R EGIONAL OFFICE, KOTTAYAM -686 001.

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BY ADV SRI.ATHUL SHAJI, SC,
KOTTAYAM DISTRICT CO.OPERATIVE BANK LTD.

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
13.10.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C) NO. 13754 OF 2022 2

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JUDGMENT

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Petitioner has approached this Court challenging proceedings initiated under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI Act) for recovery of the amounts due upon a loan availed by the petitioner.

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During the course of hearing, petitioner has confined the relief to an opportunity for repaying the overdue amount in installments and to obtain regularization of the loan account.

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It was submitted on behalf of the respondent bank that the petitioner committed default in repayment and the overdue amount is Rs.20,96,489/- (Rupees Twenty Lakhs Ninety Six Thousand Four Hundred and Eighty Nine only). It was further submitted that though proceedings for recovery have been initiated, as a matter of indulgence, the respondent bank is willing to accept repayment of the overdue amount in limited installments and regularize the loan account.

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I have heard Adv.Arun Francis, the learned counsel for the petitioner as well as Adv.Athul Shaji, the learned counsel for the respondents.

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WP(C) NO. 13754 OF 2022 3

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Having regard to the circumstances of the case and the situation now prevailing, apart from the submissions made as recorded above, I am of the view that the petitioner can be granted an opportunity to repay the overdue amount in 20 installments and thereafter, if the amount so directed is repaid within the time as directed above, to have the loan account regularized.

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Accordingly, there will be a direction to the respondent bank to accept repayment of the entire overdue amount of Rs.20,96,489/- (Rupees Twenty Lakhs Ninety Six Thousand Four Hundred and Eighty Nine only) along with bank charges from the petitioner and regularize the loan account of the petitioner on the following conditions:

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(i) The overdue amount of Rs.20,96,489/- (Rupees Twenty Lakhs Ninety Six Thousand Four Hundred and Eighty Nine only) shall be repaid in 20 equated monthly installments along with any accrued interest and costs;

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(ii) The first installment shall be paid on or before 07-11-2022. The subsequent installments shall be paid on or before the last working day of the succeeding months;

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(iii) Petitioner shall continue to pay the regular EMI’s along with the installments as directed above;

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WP(C) NO. 13754 OF 2022 4

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(iv) In the event of default of any one installment, the respondent bank shall be entitled to proceed in accordance with law.

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(v) In order to enable the petitioner to repay the entire

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amounts, all coercive proceedings shall be kept in abeyance.

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The writ petition is disposed of as above.

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Sd/GOPINATH P. JUDGE

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ats

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WP(C) NO. 13754 OF 2022 5

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APPENDIX OF WP(C) 13754/2022

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PETITIONER EXHIBITS

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Exhibit P1TRUE COPY OF THE NOTICE DATED 30/11/2021 ISSUED BY
THE 2ND RESPONDENT TO THE PETITIONER.

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Exhibit P2TRUE COPY OF THE NOTICE ISSUED BY THE 3RD RESPONDENT
TO THE PETITIONER.

Sindhu Jose, v. Kerala State Co-Operative Bank Ltd.

Case brief

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Sindhu Jose, v. Kerala State Co-Operative Bank Ltd.

Case brief

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