Allowed

T.Selvaraj, v. Repco Home Finance Ltd.

Kerala HC12 Oct 2022WP(C)/7706/2022

Case brief

AI extract

What is this about?

The Single Judge granted the petitioner an opportunity to repay the outstanding mortgage loan of Rs.1.85 crore in fifteen instalments. The court directed the respondent financial institution to accept the repayments and keep coercive proceedings in abeyance, with vacant possession to be handed over upon default.

What did the court decide?

Petitioner granted 15-month instalment plan for Rs.1.85 crore; coercive proceedings kept in abeyance; possession lien retained until final payment.

T.Selvaraj, Vs Repco Home Finance Ltd. — Banking and Recovery | 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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WEDNESDAY, THE 12^TH DAY OF OCTOBER 2022 / 20TH ASWINA, 1944

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WP(C) NO. 7706 OF 2022

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PETITIONER:

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1 T.SELVARAJ, AGED 58 YEARS S/O. THIRUMALA SWAM THEVAR, MOOKAMBIKA ILLAM, THIRUVIZHA LANE, WEST NADA, THIRUNAKKARA, KOTTAYAM , PIN 686 001. BY ADVS.

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M.P.MADHAVANKUTTY MATHEW DEVASSI ANANTHAKRISHNAN A. KARTHA

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RESPONDENTS:

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1 REPCO HOME FINANCE LTD., REPRESENTED BY ITS MANAGER, REPCO TOWER, NO. 33, NORTH USMAN ROAD, T NAGAR, CHENNAI, TAMIL NADU, PIN 600017. 2 AUTHORIZED OFFICER , REPCO HOME FINANCE LTD., REPCO TOWER, NO.33, NORTH USMAN ROAD, T NAGAR, CHENNAI, TAMIL NADU, PIN 600 017. BY ADV P.PAULOCHAN ANTONY

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON

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12.10.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

WPC No.7706 of 2022

JUDGMENT

Dated this the 12^th day of October, 2022

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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 (hereinafter referred to as the SARFAESI Act) for recovery of the amounts due upon a mortgage 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 outstanding amount in instalments.

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It was submitted on behalf of the respondent financial institution that the petitioners committed default in repayment and the outstanding amount is Rs.1,85,59,412/- (Rupees One crore eight five lakh fifty nine thousand four hundred twelve only). It was further submitted that though proceedings for recovery have been initiated, as a

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WPC No.7706 of 2022

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matter of indulgence, the respondent financial institution is willing to accept repayment of the outstanding amount in limited instalments.

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I have heard the learned counsel for the petitioner as well as the learned Standing Counsel for the respondents.

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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 outstanding amount in fifteen (15) instalments.

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Accordingly, there will be a direction to the respondent financial institution to accept repayment of the entire outstanding amount of Rs.1,85,59,412/(Rupees One crore eight five lakh fifty nine thousand four hundred twelve only) along with bank charges from the petitioner on the following conditions:

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(i) The petitioner shall remit an amount of Rs.25

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WPC No.7706 of 2022

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lakhs on or before 11.11.2022 and the balance outstanding amount of Rs.1,60,59,412/(Rupees One crore sixty lakh fifty nine thousand four hundred twelve only) together with any accrued interest/costs shall be repaid in fifteen (15) equated monthly instalments commencing from 12.12.2022. Subsequent instalments shall be paid on or before 12^th day of every succeeding month;

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(ii) In the event of default of any one instalment, the respondent financial institution shall be entitled to proceed in accordance with law;

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(iii) In order to enable the petitioner to repay the entire amounts, all coercive proceedings shall be kept in abeyance;

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I make it clear that if the petitioner commits any default in payment of the amounts as directed above, it will be open to the respondent financial institution to proceed further against the

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WPC No.7706 of 2022

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petitioner in accordance with law and further that the petitioner shall hand over the vacant possession of the secured assets to the authorised officer of the respondent financial institution.

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The writ petition is disposed of as above.

Sd/-

GOPINATH P.

JUDGE

SKP/12-10

WPC No.7706 of 2022

	APPENDIX OF WP(C) 7706/2022
PETITIONER EXHIBITS
EXHIBIT P1	TRUE COPY OF THE NOTICE DATED 21.04.2021 ISSUED BY THE REPCO HOME FINANCE LIMITED.
EXHIBIT P2	TRUE COPY OF THE NOTICE DATED 16.02.2022 BY THE ADVOCATE COMMISSIONER WHO HAS BEEN APPOINTED BY THE CHIEF JUDICIAL MAGISTRATE COURT, KOTTAYAM
	IN M.C. NO. 11/2022 FOR TAKING POSSESSION OF THE SECURED ASSET.
EXHIBIT P3	A TRUE COPY OF THE NOTICE DATED 17.09.2022 ISSUED BY RAVEENDRAN S ADVOCATE

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RESPONDENTS' EXHIBITS

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TRUE COPY

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P.A.TO JUDGE

T.Selvaraj, v. Repco Home Finance Ltd.

Case brief

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T.Selvaraj, v. Repco Home Finance Ltd.

Case brief

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