The petitioners had availed a housing loan of ₹2,40,000/-
(Rupees two lakh forty thousand only) from the respondent Bank creating security interest over the property in question. Subsequently a cash credit facility of One lakh Rupees was also taken. But the repayment could not be effected promptly, when the respondent Bank proceeded against the petitioners by resorting to the remedy under the SARFAESI Act which in turn is under challenge in this writ petition.
2. The learned counsel for the petitioners submits that the default was never wilful, but due to some unforeseen circumstances and that the petitioners do not dispute the liability to clear the due amount or the rights and liberties of the respondents in proceeding against the petitioners. The limited relief now pressed before this Court is to permit the petitioner to clear the entire liability granting some breathing time in this regard.
3. The learned counsel appearing for the respondent Bank submits on instructions that, the total outstanding liability in W.P.(C). No. 27857 of 2014 -2-
respect of the cash credit facility as on date is about `3,17,876/- (Rupees three lakh seventeen thousand eight hundred seventy six only), while a sum of nearly `1,34,100/-(Rupees one lakh thirty four thousand one hundred only) is overdue under the housing loan, in respect of the defaulted instalments.
4. After hearing both the sides, particularly, in view of the limited relief sought for, this Court finds it fit and proper to permit the petitioner to clear the entire 'overdue' amount in respect of the housing loan by way of 'six' equal monthly instalments, the first of which shall be effected on or before the 15th day of November, 2014; followed by similar instalments to be effected on or before 15th of the succeeding months. In the case of cash credit facility, the total outstanding amount is `3,17,876/- (Rupees three lakhs seventeen thousand eight hundred seventy six only) and the tenure of loan is already over. In the said circumstances, the petitioners are set at liberty to clear the entire loan amount by way of six instalments, the first of which shall be effected on or before the 15th day of November, 2014; followed by similar instalments to be effected on or before the 15th of succeeding months. Subject to this, the coercive proceedings being pursued against the petitioners shall be kept W.P.(C). No. 27857 of 2014 -3-
in abeyance for the time being. It is made clear that, if any single default is committed with regard to repayment of overdue amount in respect of housing loan or the instalment in respect of the cash credit facility or in the event of two consecutive defaults with regard to regular EMIs of the housing loan, it will be open for the respondent Bank to proceed against the petitioners for realization of the entire amount in lump, from the stage where it stands now.
5. The petitioners shall produce a copy of the judgment along with a copy of the writ petition before the concerned respondent for further steps.
Writ petition is disposed of.
P.R. RAMACHANDRA MENON, JUDGE.
sj