Judgment:
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN THURSDAY, THE22D DAY OF MAY20141ST JYAISHTA, 1936 WP(C).No. 9894 of 2014 (J) --------------------------- PETITIONER : ---------- IBRAHIMKUTTY A.P.,S/O.ABOOBACKER KUNJU, HOUSE NO479 BHARANI KATTAYATHU SASTHAMKOTTA NOW RESIDING AT MULIAYA HOUSE, KANIYAPURAM P.O., TRIVANDRUM BY ADV. SRI.SABU S.KALLARAMOOLA RESPONDENTS: ----------- 1. REPCO BANK, REPCO TOWER33 NORTH USMAN ROAD,T.NAGAR CHENNAI60001 REP.BY ITS DEPUTY GENERAL MANAGER2 THE BRANCH MANAGER, REPCO BANK, THIRUVANANTHAPURAM BRANCH, S.S KOVIL ROAD TRIVANDRUM R1 & R2 BY ADVS. SRI.V.KRISHNA MENON SMT.P.VIJAYAMMA SMT.DEVI.C.HARIDAS THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON2205-2014, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: BP WP(C).No. 9894 of 2014 (J) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS ----------------------- P1: TRUE COPY OF THE NOTICE DTD701-2014 PUBLISHED IN DESHABHIMANI DAILY62/214. P2: TRUE COPY OF THE REQUEST DATED2403-2014 OF THE PETITIONER RESPONDENT(S)' EXHIBITS : NIL. ----------------------- //TRUE COPY// P.A. TO JUDGE BP K.VINOD CHANDRAN, J - - - - - - - - - - - - - - - - - - - - W.P.(C).No. 9894 of 2014 - - - - - - - - - - - - - - - - Dated 23rd May, 2014 - - - - - - - - - - - - - - - - - - - - - - - - JUDGMENT
The petitioner availed of a housing loan from the respondent Bank in the year 2011. The repayment of the same was to be made by way of equated monthly instaments in 10 years and the loan period expires only in the month of June 2021. However, default having been committed in the account, proceedings were taken under the SARFAESI Act which is challenged in the above writ petition.
2. It is trite that no proceedings under the SARFAESI Act can be challenged under Article 226 of the Constitution of India. However, considering the undertaking of the petitioner that the entire defaulted amounts would be paid within a period of ten months, there shall be a direction that the proceedings initiated against WP(C).9894/14 2 the petitioner's property shall be kept in abeyance on the following conditions: (i). The Bank shall issue a statement of accounts showing the defaulted amounts as on 31.5.2014. (ii). The Bank shall grant ten monthly instalments for the payment of the balance dues, starting from 23.06.2014. (iii). Recovery proceedings shall be kept in abeyance on condition that the remittances as per this order are made without any default. (iv) On the petitioner making two consecutive defaults, the recovery steps initiated shall revive and continue. (v). On the tenth instalment being satisfied, the Bank shall issue a statement of the interest accrued from 31.05.2014 which shall be satisfied by the petitioner on the 23rd of the succeeding month. (vi). On the petitioner satisfying the entire arrears, the recovery WP(C).9894/14 3 proceedings shall be unenforceable.
3. Needless to say that in addition to the instalments to satisfy the defaulted amounts, petitioner shall also be liable to pay the regular equated monthly instalments due on each month. If the above conditions are complied with and the defaulted amounts are satisfied in 10 equal monthsly instalments then, necessarily the loan account shall be regularized and the petitioner shall be permitted to pay off the entire amounts as agreed upon initially; subject to further compliance of all equated monthly instalments. Writ petition disposed of. Sd/- K.VINOD CHANDRAN, Judge Mrcs //True Copy//