A borrower facing coercive recovery proceedings by a cooperative bank sought quashing of notices and settlement. Counsel limited the prayer to the One Time Settlement Scheme; the Court permitted him to apply under Circular No.18/2024 and deferred coercive proceedings pending a decision.
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IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
WEDNESDAY, THE 24TH DAY OF JULY 2024 / 2ND SRAVANA, 1946
WP(C) NO. 32149 OF 2023
PETITIONER:
MUJEEB K.I
AGED 51 YEARS
S/O. K.S IBRAHIM, KADAVUKARAYIL (H)
NARAKAMPUZHA, KOOTIKAL P.O
KOTTAYAM, PIN – 686514
BY ADVS.
V.K.PEERMOHAMED KHAN
GIRISH KUMAR V.C
ASNA M.B.
RESPONDENTS:
1 MUNDAKKAYAM SERVICE COOPERATIVE BANK LTD., REPRESENTED BY ITS MANAGER NO.K 122, MUNDAKKAYAM P.O, MUNDAKKAYAM, KANJIRAPPALLY, KOTTAYAM, PIN - 6865132 SPECIAL SALE OFFICER MUNDAKKAYAM SERVICE COOPERATIVE BANK LTD., MUNDAKKAYAM, KANJIRAPPALLY, KOTTAYAM, PIN – 686513BY ADVS.
LIJI J VADAKKEDAM
ATHUL V. VADAKKEDAM(K/003544/2022)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 24.07.2024, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
2
WP(C) No.32149 of 2023
JUDGMENT
Dated this the 24th day of July, 2024
The petitioner, who has availed a financial assistance
from the 1st respondent-Bank and against whom the Bank has initiated coercive recovery proceedings, has filed this writ petition seeking the following reliefs:
(1) Issue a writ of certiorari or other appropriate writ or order, to call for the records leading to Exts.P1 to P3 and quash the same;
(2) Issue a writ of mandamus or other appropriate writ, order or direction commanding the 1st respondent bank to consider request for settlement with an opportunity of hearing the petitioner, within the time as framed by this Hon’ble Court.
2. When this writ petition came up for hearing today,
counsel for the petitioner submitted that the Registrar of Co-operative Societies has floated a One Time Settlement
Scheme and the petitioner will be satisfied if he is permitted to
avail the benefit of the said One Time Settlement Scheme.
made by the petitioner, the writ petition is disposed of
WP(C) No.32149 of 2023
permitting the petitioner to avail the benefit of One Time Settlement Scheme under Circular No.18/2024 dated 07.06.2024 of the Registrar of Co-operative Societies.
If the petitioner makes a proposal for One Time Settlement under Circular No.18/2024 within a period of three days, then the Bank shall consider the same as per the Scheme. If the petitioner makes a proposal within three days, coercive proceedings, if any, against the petitioner shall stand deferred till the Bank takes a decision in the matter. All other legal questions agitated in this writ petition are left open.
Sd/-
N.NAGARESH
JUDGE
spk
WP(C) No.32149 of 2023
4
APPENDIX OF WP(C) 32149/2023
PETITIONER EXHIBITS
Exhibit P1TRUE COPY OF THE DEMAND NOTICE ISSUED
BYTHERESPONDENTBANKDATED
05.01.2022 IN AWARD NO: 1044/2022 IN
THE NAME OF THE PETITIONER
Exhibit P1(a)TRUE COPY OF THE DEMAND NOTICE ISSUED
BYTHERESPONDENTBANKDATED
05.01.2022 IN AWARD NO: 1045/2022 IN
THE NAME OF ASHARAF K.I
Exhibit P1(b)TRUE COPY OF THE DEMAND NOTICE ISSUED
BYTHERESPONDENTBANKDATED
05.01.2022 IN AWARD NO: 1050/2022 IN
THE NAME OF MUHAMMED NASEER
Exhibit P1(c)TRUE COPY OF THE DEMAND NOTICE ISSUED
BYTHERESPONDENTBANKDATED
05.01.2022 IN AWARD NO: 1051/2022 IN
THE NAME OF SUDHEER KHAN
Exhibit P2TRUE COPY OF THE ATTACHMENT NOTICE
DATED 14.07.2023 AGAINST THE PROPERTY
OF THE PETITIONER AND IN THE NAME OF
BORROWER NAMELY NASEER
Exhibit P3TRUE COPY OF THE NOTICE DATED
05.09.2023 ISSUED BY THE SPECIAL SALE
OFFICER
1 issue framed by the court
Whether the petitioner could be permitted to avail the Registrar of Co-operative Societies' One Time Settlement Scheme instead of facing coercive recovery proceedings.
Mujeeb K.I
Mundakkayam Service Cooperative Bank Ltd. No.K 122
Special Sale Officer, Mundakkayam Service Cooperative Bank Ltd.
N.NagaresH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court