Manas.E.K vs. The Authorised Officer - Kerala High Court, 02 April 2019

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DEVAN RAMACHANDRAN TUE AY ,THE 02ND DAY OF APRIL 2019 / 12TH CHAITHRA, 1941 WP(C).No. 9690 of 2019 PETITIONER/S: MANAS.E.K AGED 37 YEARS S/O.LATE KUNJIKHADER, EDAVAZHIKKAL HOUSE, ERIYAD P.O, KODUNGALLUR, THRISSUR DISTRICT-680666. BY ADVS. SRI.JOHNSON JOSE PANJIKKARAN KUM.P.H.RIMJU RESPONDENT/S: THE AUTHORISED OFFICER, IRINJALAKUDA TOWN CO-OPERATIVE BANK LTD NO.55, HEAD OFFICE, IRINJALAKUDA, THRISSUR-680121. BY ADV. SRI.DEVAPRASANTH.P.J.-SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 02.04.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

WP(C).No. 9690 of 2019 2 J U D G M E N T The petitioner prays that a loan account, availed of by him from the respondent Bank, be directed to be either regularized or closed, by allowing him to pay off the overdues/outstanding in installments.

However, Sri.Devaprasanth P.J, the learned standing counsel appearing for the respondent-Bank, submits that neither regularization nor closure of the loan account is possible at this time because, the Bank has already brought the property to sale under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act ('the SARFAESI Act' for brevity). He adds that since there were no bidders at such sale, the Bank itself has purchased it invoking Section 13(5A) of the Act. He, however, submits that the Bank does not want to stand on technicalities and that they are willing to have the sale set aside provided, the petitioner pays the total outstanding dues in not more than 12 equal monthly instalments commencing from May, 2019. He adds that the total dues, as on 31.03.2019, is Rs.1,16,93,885/- and that the petitioner must pay the applicable charges and interest in future also, if he wants to

WP(C).No. 9690 of 2019 3 pay it off in installments.

Sri.Johnson Jose Panjikkaran, the learned counsel for the petitioner submits that his client accepts this offer and prays that this writ petition be ordered on such terms.

In the afore circumstances, I order this writ petition and direct the petitioner to pay an amount of Rs.1,16,93,885/- , which is stated to be the total outstanding as on 31.03.2019, along with all applicable charges and interest, in 12 equal monthly installments, commencing from 10.05.2019; in which event, by the end of this term, the sale conducted by the Bank in their favour will stand set aside and they will return the title documents of the mortgaged properties to the mortgagor/s soon thereafter.

It goes without saying that if there is any default in making the payments as directed above, the benefit granted under this judgment would stand vacated and the Bank will be at liberty to deal with the property, as they deem fit, thereafter. I make it clear that the directions in this judgment are peremptory in nature and that the petitioner will have to comply with the same meticulously. I caution the petitioner that no

WP(C).No. 9690 of 2019 4 further requests for extension or modification of this judgment, save in exceptional circumstances, will be permitted and that if the petitioner fails to comply with the directions herein, he will lose the benefit of this judgment and he will also be foreclosed from challenging the measures/proceedings taken by the Bank under the SARFAESI Act, which are impugned in this writ petition, before any other alternative Forum or Court. The writ petition is ordered accordingly. DEVAN RAMACHANDRAN rp JUDGE

WP(C).No. 9690 of 2019 5 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1OF THE RELEVANT PAGES OF THE PASSBOOK ISSUED BY RESPONDENT. EXHIBIT P2OF TRADE MARK REGISTRATION CERTIFICATE. EXHIBIT P3OF THE ISO 9001.2015 CERTIFICATE DATED 13.12.2016. EXHIBIT P4OF THE GST REGISTRATION CERTIFICATE STANDING IN THE NAME OF CENAMICA SANITARY WARES, EXHIBIT P5OF THE JUDGMENT IN WPC NO.6318/2019. EXHIBIT P6OF THE SALE NOTICE DATED 13.3.2019. EXHIBIT P7OF THE ADVERTISEMENT APPEARED IN MALAYALA MANORAMA DAILY.