The petitioner availed of a housing loan and had committed default in the same. Since default was committed, the respondent Bank has initiated SARFAESI proceedings, in the context of there being arrears for reason of failure to pay the equated monthly instalments. Considering the facts of the case and the alleged impecunious circumstances of the petitioner, this writ petition is disposed of, on the following terms:- (i). The respondent bank shall issue a statement showing the defaulted amounts as on 15.06.2014.
(ii). The respondent bank shall grant ten monthly instalments for the payment of the balance dues, starting from 30.06.2014.
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(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 respondent bank shall issue a statement of the interest accrued from 15.06.2014 which shall be satisfied by the petitioners on the 30th of the succeeding month.
(vi). On the petitioner satisfying the entire arrears, the loan shall be regularised.
It is made clear that during the period in which the instalments are being paid regularly, petitioner would be entitled to prosecute the proceedings initiated before the 2nd respondent as indicated in Ext.P2. The petitioner would be entitled to move the 2nd respondent for an WP(C).13538/14 3 expeditious consideration of the appeal. If orders are passed granting relief, necessarily, the future instalments shall be subject to such orders.
Sd/-
K.VINOD CHANDRAN, Judge Mrcs