Ashok Bhushan, Ag. C.J. Heard the learned counsel for the appellant and the learned counsel for the Bank.
2. This writ appeal has been filed against the judgment dated 21.8.2014 and subsequently the order dated 13.10.014 in I.A. No. 13808/2014.
3. The petitioner filed the writ petition challenging the action of the Bank in initiating proceedings under the SARFAESI Act, 2002. The outstanding dues as on 6th August, 2014 is 10,51,900/-. The learned Single Judge disposed of the writ petition by permitting the petitioner to deposit the entire outstanding amount in 12 monthly instalments. First instalment was to be paid by 22nd September, 2014. The petitioner made payment of the first instalment and filed an application for review of the judgment. The petitioner came up with the prayer that the petitioner has a right to deposit the entire outstanding defaulted instalments, which can be accepted by the Bank and the petitioner be thereafter permitted to deposit future instalment as per original term fixed for repayment. The learned counsel for the petitioner submits that according to the original terms, the entire loan was to be paid by August 2018.
4. We have heard counsel for the parties and perused the records.
5. The learned counsel for the Bank submits that it is not open for the petitioner to relax the loan or to permit the petitioner to deposit the amount as per the earlier settlement. The learned counsel for the petitioner submits that loan was taken for agriculture purpose and the petitioner accepts the entire liability and ready to deposit the outstanding instalments provided one more opportunity is given to the petitioner.
6. Considering the fact that the petitioner has shown his readiness to deposit the entire outstanding instalments wih interest before next month and further submitted that he will pay the regular instalment from January, 2015, we clarify that in the event the petitioner commits any default in making payment of outstanding instalment along with interest, it shall be open for the Bank to proceed with SARFAESI proceedings.
In the result, the appeal is allowed with the following directions:
(i) The appellant shall pay the outstanding instalment with interest before 30th January, 2015.
(ii) With effect from January, 2015, the appellant shall continue to pay regular instalments as and when due.
(iii) In the event any default is committed by the appellant, it shall be open for the Bank to proceed with SARFAESI proceedings.
Sd/-
Ashok Bhushan, Ag. Chief Justice Tds/ Sd/-
A.M. Shaffique, Judge.