The petitioner availed an overdraft facility from the respondent Bank, for an amount of Rs.7,00,000 (Rupees Seven lakhs only), on the strength of security interest created over the property in question. Since, the timely repayment could not be effected as scheduled, the account was declared as N.P.A. and the Bank proceeded with steps under the SARFAESI Act, which in turn is under challenge in this writ petition.
2. The learned counsel for the petitioner submits that the default was never wilful, but because of some unforeseen circumstances.
3. The learned counsel appearing for the respondent Bank submits on instructions that the entire outstanding liability as on date is about Rs.16,08,312/- (Rupees Sixteen lakhs eight thousand three hundred and twelve only).
4. The learned counsel for the petitioner submits that the petitioner does not intend to dispute the liability to pay or as to the rights and liberties of the Bank to proceed with the steps W.P.(C) No.26896 of 2014 2 under the SARFAESI Act. The prayer is only to enable the petitioner to satisfy the outstanding liability by way of reasonable installments.
5. Considering the facts and circumstances, the petitioner is permitted to clear the entire outstanding liability by way of 'six' equal monthly installments. The first of it shall be effected on or before the 30th of October, 2014, followed by the other installments, to be effected on or before the last working day of the succeeding months. Further proceedings shall be kept in abeyance, subject to satisfaction of the liability as above.
5. It is made clear that, if any default is committed with regard to the satisfaction of the due amount as above, it will be open for the respondent Bank to proceed with further steps for realization of the entire amount in lump, by pursuing such steps from the stage where it stands now.
The writ petition is disposed of.
P.R. RAMACHANDRA MENON, JUDGE sp