Petitioners had availed two ordinary loans, to the tune of Rs.3 lakhs and 2 lakhs lakhs from the respondent/ Kottayam District Co-operative Bank, in the year 2013, on the strength of the security interest created over the property in question. Because of some adverse circumstances, repayment could not be effected on time, when the Bank proceeded with further steps under the SARFAESI Act, issuing notice under Section 13(2) of the Act, as borne by Ext.P1, which made the petitioners to approach this Court for immediate interference.
2. The case of the petitioners is that the default was never wilful but because of some unforeseen pecuniary circumstances in connection with the treatment of first petitioner. It is however assured that the entire 'overdue' amount as well as regular E.M.Is will be cleared, without fail, if some breathing time is given.
3. The learned Standing Counsel for the respondent Bank submits that nearly a sum of Rs.1.24 lakhs is 'overdue' towards defaulted installments .
W.P.(C)No.29976 OF 2014 2
4. After taking note of the particular facts and circumstances and also the nature of the loan, this Court finds it fit and proper to permit the petitioners to clear the liability towards the 'overdue' amount by way of 'four' equal monthly installments, the first of which shall be effected on or before 31.12.2014, followed by similar installments to be effected on or before the last working day of the succeeding months. Subject to this, the loan account will stand regularised and all coercive proceedings shall be kept in abeyance. This will be in addition to the liability to clear the regular monthly installments as well. It is further made clear that, if the petitioners commit any default in remitting the overdue amount/arrears as above or in the event of committing two consecutive defaults in respect of the regular E.M.Is payable, the respondent Bank will be at liberty to proceed with further steps for realisation of the entire outstanding liability in a lump, pursuing such steps, from the stage where it stands now.
The writ petition is disposed of as above.
P.R.RAMACHANDRA MENON JUDGE lk