The petitioners availed a cash-credit loan of `1.73 lakhs from the respondent Bank. 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 counsel for the respondent Bank submits that the loan has been taken by the 2nd petitioner. The learned counsel for the respondent Bank submits on instructions that, the total outstanding amount is nearly `2,50,094/- (Rupees two lakhs fifty thousand ninety four only). It is also pointed out that the overdue amount in respect of default instalments itself is `1,36,690/- .
3. The learned counsel for the petitioners submits that the default was never willful, but because of some unforeseen circumstances and that the petitioners are ready to clear the entire overdue amount in respect of the cash-credit loan by way of reasonable monthly instalments. It is also stated that the petitioners do not intend to dispute the liability of the petitioner W.P.C.No. 27797OF 2014 2 or the rights of the Bank to proceed with further steps under SARFAESI Act. The prayer is only to grant some reasonable instalments.
After hearing both the sides, the petitioners are directed to satisfy the 'overdue' amount in respect of defaulted instalments, by way of 'four' equal monthly instalments, the first of which shall be effected on or before the 15th of November, 2014, followed by similar instalments, to be effected on or before the 15th of the succeeding months. This shall be in addition to the liability of the petitioners to clear the regular EMIs. Subject to this, the recovery proceedings shall be kept in abeyance, for the time being and the loan account will stand regularized. It is made clear that, if any single default is committed with regard to the satisfaction of the 'overdue' as above, or if any two consecutive defaults are made with regard to the regular monthly instalments, it will be open to 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.
SD/-
P.R. RAMACHANDRA MENON, JUDGE jv