Sudhir A.C. v. The Branch Manager, South Indian Bank
Original PDF →DATED 6-12-2021 IN IA NO.1/2021) BY ADVS. MOHAN JACOB GEORGE P.V.PARVATHY (P-41) REENA THOMAS NIGI GEORGE THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16.03.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO.20896 of 2021 2 BECHU KURIAN THOMAS, J …......….................................. W.P.(C) No.20896 of 2021 ….................................. Dated this the 16 th day of March, 2022 JUDGMENT Petitioner as borrower from the respondent-Bank, has committed default in repayment. Consequently, proceedings have been initiated by the Bank for recovery of the amounts due.
During the course of the hearing, petitioner has confined the relief to an opportunity for repaying the overdue amount in instalments and to obtain regularisation of the loan account.
It was submitted on behalf of the respondent-Bank that petitioner committed default in repayment and the overdue amount under the four loans as on date totals to Rs.67 Lakhs. It was further submitted that though proceedings for recovery have been initiated, respondent-Bank is willing to regularise the term loans and also renew the overdraft facility provided the conditions stipulated by them are satisfied. It was also submitted that respondents are willing to accept repayment of the amount in instalments provided a substantial sum is deposited by the petitioner before the end
WP(C) NO.20896 of 2021 3 of March, 2022. 4. I have heard Sri.Jomon P.Varghese, the learned counsel for the petitioner as well as Sri.Mohan Jacob George, the learned Standing counsel for respondent-Bank and Adv.Deepu Rajagopal, the learned counsel for additional respondents 3 to 6. 5. Having regard to the circumstances of the case and the situation now prevailing, apart from the submissions made as recorded above, I am of the view that the petitioner can be granted an opportunity to repay the overdue amount in '11' instalments and thereafter, if the amount so directed is repaid within the time as directed above, to have the term loan account regularised and the overdraft facility renewed on terms.
Therefore, the respondent-Bank is directed to regularize the loan account and renew the overdraft facility on the following conditions: (i). The overdue amount of Rs.67 Lakhs shall be repaid in a total of '11' instalments, on condition that an amount of Rs.12,00,000/- (Rupees Twelve lakhs only) be paid by the petitioner on or before 30.03.2022. (ii). If the said amount is paid as directed above, the petitioner
WP(C) NO.20896 of 2021 4 will be entitled to clear the balance amount, after deducting the said amount of Rs.12,00,000/-, in '10' equated monthly instalments, commencing from 30.04.2022 and the remaining instalments payable on or before the 30th of the succeeding months. (iii). Petitioner shall continue to pay the regular EMI’s along with the instalments directed above due under the term loans. (iv). Petitioner shall furnish the financial documents specified by the Bank in the statement dated 06.12.2021, which are as follows: 1) Annual Financial Statement 2017-18 & e Filed financial directly downloaded from IT site, ITR with computation. 2) Annual Financial Statement 2018-19 & e Filed financial directly downloaded from IT site, ITR with computation. 3) Annual Financial Statement 2019-20 & e Filed financial directly downloaded from IT site, ITR with computation. 4) Audited Financials/Provisional Financials 2020—21 5) GST Returns for the last 12 months 6) Latest local body license 7) Estimated Financial 2021-22 8) Projected Financials 2022-23 9) Latest land tax paid receipts, building tax paid receipts. 10) Loan renewal application and INWs duly signed by applicants. (v) If the aforesaid conditions are complied with, the respondent- Bank shall regularise the term loan account of the petitioner and renew the overdraft facility.
WP(C) NO.20896 of 2021 5 (vi) In the event of default of any one instalment, the respondent bank shall be entitled to proceed in accordance with law. (vii) In order to enable the petitioner to repay the entire amounts, all coercive proceedings initiated against the petitioner shall be kept in abeyance. The writ petition is disposed of. BECHU KURIAN THOMAS
JUDGE AMV/18/03//2022
WP(C) NO.20896 of 2021 6 APPENDIX OF WP(C) 20896/2021 PETITIONER EXHIBITS Exhibit P1 TRUE PHOTOCOPY OF THE DEMAND NOTICE ISSUED BY THE 2ND RESPONDENT UNDER SECTION 13(2) OF THE SARFAESI ACT DATED 07.06.2021. Exhibit P2 TRUE PHOTOCOPY OF THE REPRESENTATION SUBMITTED BEFORE THE 1ST RESPONDENT DATED 23.09.2021. RESPONDENTS EXHIBITS : NIL
Reproduced from the public record of the Kerala High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.