The petitioners availed a cash credit facility from the 1st respondent Bank on the strength of security interest created over the property in question. Since the repayment could not be effected as scheduled, the Bank proceeded with steps under the SARFAESI Act, which made the petitioners to approach this Court by filing this writ petition.
2. The learned Standing Counsel appearing for the respondent Bank submits with reference to the contents of the statement that the outstanding liability as on 25.09.2014 is Rs.25.48 lakhs and the sale is scheduled to be held on 12.11.2014.
3. The learned counsel for the petitioners submits that the default was never wilful, but because of some unforeseen circumstances and that steps are being taken, despite the utter penury of the petitioners, to have the 'overdue' amount cleared, for which some breathing time is sought for. It is stated that the petitioners do not intend to dispute the liability, nor do they intend to avail the statutory remedy by approaching the D.R.T. The learned counsel also submits that, to prove the bonafides, the petitioners are ready to satisfy 50% of the entire outstanding liability within 'two weeks' and the prayer is to enable the petitioners to liquidate the balance liability by granting the benefit of 'OTS' Scheme.
4. In the above circumstance, the petitioners are directed to satisfy 50% of the existing liability forthwith; on which event, further proceedings in connection with the sale will stand adjourned. Subject to satisfaction of the above amount, the petitioners will also be at liberty to file an application for granting the benefit of 'OTS' before the respondent Bank; upon which, the same shall be considered in accordance with law and the outcome shall be let known to the petitioners. It will be for the petitioners to satisfy the balance liability to be communicated by the Bank in the manner as specified by them. It is also made clear that, if any default is committed with regard to satisfaction of the liability as above, it will be open for the respondents to proceed with further steps for realization of the entire amount in a lump, by pursuing such steps from the stage where it stands now.
The writ petition is disposed of.
sd/-
P.R. RAMACHANDRA MENON, JUDGE jv