P.T. Kenzath Vs. Malappuram District Co-operative Bank Ltd. - Court Judgment

SooperKanoon Citationsooperkanoon.com/1010553
CourtKerala High Court
Decided OnJan-15-2013
JudgeHONOURABLE MR.JUSTICE ANTONY DOMINIC
AppellantP.T. Kenzath
RespondentMalappuram District Co-operative Bank Ltd.
Excerpt:
in the high court of kerala at ernakulam present: the honourable mr.justice antony dominic tuesday, the 15th day of january 2013 25th pousha 193 wp(c).no. 1287 of 2013 (i) -------------------------- petitioner(s): ------------------------ 1. p.t. kenzath, w/o.mohammedali babu,cheramath house,chelari p.o., malappuram district.2. t.p.musthafa, s/o.kuttoosa haji,tharamaparambil house, tanaloor p.o.,malappuram district. by advs.sri.a.jayasankar sri.manu govind sri.jophy pothen kandankary respondent(s): ----------------------------- malappuram district co-operative bank ltd., head office malappuram ”505. represented by its general manager. by adv.sri.e.s.m.kabeer,sc this writ petition (civil) having come up for admission on 15-01-2013, the court on the same day delivered the following: sts wp(c)no.1287/2013 appendix petitioner's exhibits: p1 copy of the demand notice dated 2 8/2008 issued by the respondent p2 copy of the application filed by the respondent before the chief judicial magistrate court, manjeri. respondent's exhibits: nil /true copy/ p.a.to.judge sts antony dominic, j ........................................ w.p.(c).1287/2013 .............................................. dated this the 15th day of january, 2013 judgment in 2007, 1st petitioner availed of a cash credit facility of rs.15 lakhs from the respondent bank. for that loan, the 2nd petitioner was the surety who had offered his property as security. there has not been any payment, according to the counsel for the bank. as a result, the account was classified as npa and sarfaesi proceedings were initiated. bank finally filed ext.p2 application under section 14 of the sarfaesi act, before the chief judicial magistrate court, manjeri. according to the counsel for the bank, an order was passed appointing an advocate commissioner who made efforts to take over possession of the secured asset. it is at that stage this writ petition is filed by the petitioners, with a request that they be allowed to pay the amounts due to the bank in instalments.2. pointing out the defaults committed by the w.p.(c).1287/13 2 petitioners, counsel for the bank opposed the prayer. although the bank cannot be said to be unreasonable in its stand, still as the petitioners say that they are desirous of liquidating the liability, i am inclined to allow them an instalment facility which shall be subject to conditions. therefore, i dispose of this writ petition directing that the petitioners shall pay 1/5th of the amount due to the bank, on or before 31.1.2013. subject to payment as above, coercive action now initiated will be deferred. if payment is made as above, they will also be allowed to pay the balance amount due in ten equal monthly instalments. first instalment shall be paid on or before 28.2.2013 and the subsequent instalments shall be paid on or before the last working day of every succeeding month. subject to payment as above, recovery proceedings will be deferred and in case of default, w.p.(c).1287/13 3 respondent will be free to continue the recovery proceedings already initiated. sd/- antony dominic, judge mrcs /true copy/ sd/- p.a. to judge
Judgment:

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE ANTONY DOMINIC TUESDAY, THE 15TH DAY OF JANUARY 2013 25TH POUSHA 193 WP(C).No. 1287 of 2013 (I) -------------------------- PETITIONER(S): ------------------------ 1. P.T. KENZATH, W/O.MOHAMMEDALI BABU,CHERAMATH HOUSE,CHELARI P.O., MALAPPURAM DISTRICT.

2. T.P.MUSTHAFA, S/O.KUTTOOSA HAJI,THARAMAPARAMBIL HOUSE, TANALOOR P.O.,MALAPPURAM DISTRICT. BY ADVS.SRI.A.JAYASANKAR SRI.MANU GOVIND SRI.JOPHY POTHEN KANDANKARY RESPONDENT(S): ----------------------------- MALAPPURAM DISTRICT CO-OPERATIVE BANK LTD., HEAD OFFICE MALAPPURAM ”

505. REPRESENTED BY ITS GENERAL MANAGER. BY ADV.SRI.E.S.M.KABEER,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 15-01-2013, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: sts WP(C)NO.1287/2013 APPENDIX PETITIONER'S EXHIBITS: P1 COPY OF THE DEMAND NOTICE DATED 2 8/2008 ISSUED BY THE RESPONDENT P2 COPY OF THE APPLICATION FILED BY THE RESPONDENT BEFORE THE CHIEF JUDICIAL MAGISTRATE COURT, MANJERI. RESPONDENT'S EXHIBITS: NIL /TRUE COPY/ P.A.TO.JUDGE sts ANTONY DOMINIC, J ........................................ W.P.(C).1287/2013 .............................................. Dated this the 15th day of January, 2013 JUDGMENT In 2007, 1st petitioner availed of a cash credit facility of Rs.15 Lakhs from the respondent Bank. For that loan, the 2nd petitioner was the surety who had offered his property as security. There has not been any payment, according to the counsel for the Bank. As a result, the account was classified as NPA and SARFAESI proceedings were initiated. Bank finally filed Ext.P2 application under Section 14 of the SARFAESI Act, before the Chief Judicial Magistrate Court, Manjeri. According to the counsel for the Bank, an order was passed appointing an Advocate Commissioner who made efforts to take over possession of the secured asset. It is at that stage this writ petition is filed by the petitioners, with a request that they be allowed to pay the amounts due to the Bank in instalments.

2. Pointing out the defaults committed by the W.P.(C).1287/13 2 petitioners, counsel for the Bank opposed the prayer. Although the Bank cannot be said to be unreasonable in its stand, still as the petitioners say that they are desirous of liquidating the liability, I am inclined to allow them an instalment facility which shall be subject to conditions. Therefore, I dispose of this writ petition directing that the petitioners shall pay 1/5th of the amount due to the Bank, on or before 31.1.2013. Subject to payment as above, coercive action now initiated will be deferred. If payment is made as above, they will also be allowed to pay the balance amount due in ten equal monthly instalments. First instalment shall be paid on or before 28.2.2013 and the subsequent instalments shall be paid on or before the last working day of every succeeding month. Subject to payment as above, recovery proceedings will be deferred and in case of default, W.P.(C).1287/13 3 respondent will be free to continue the recovery proceedings already initiated. Sd/- ANTONY DOMINIC, JUDGE mrcs /true copy/ sd/- P.A. To Judge