The court allows a guarantor to repay a loan in installments, considering personal circumstances and the nature of the secured asset.

J U D G M E N T

The petitioner was a guarantor to the credit facilities availed by M/s.

Cleon Human Resource Consultants from the respondent bank. On default being committed, proceedings have been initiated against the petitioner under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 prompting the petitioner to approach this court by filing the above writ petition.

2. The learned counsel appearing for the petitioner would submit that the petitioner may be permitted to clear the entire liability in installments. 3. The learned counsel appearing for the respondent bank submits that the loan in question cannot be regularised and the outstanding amount due from the petitioner as on 03-02-2025 is Rs.57,88,323/-. It is submitted that the bank has no objection in granting some limited instalments to the petitioner to clear the entire liability and the number of instalments may be limited to 6.

4. The learned counsel for the petitioner would submit that the secured asset is a residential house of the petitioner and the petitioner living there along with his disabled son who has 90% disability in terms of Ext.P3 certificate issued by the Medical Board attached to the Government Taluk Headquarters Hospital, Tripunithura. It is submitted that the petitioner will take all earnest efforts to clear the entire liability and considering the peculiar circumstances of the case some further installments may be granted to the petitioner to clear the liability.

5. Having heard the learned counsel for the petitioner and the learned Standing counsel appearing for the respondent bank and having regard to the facts and circumstances of the case and considering the submissions made as recorded above, I am of the view that the petitioner can be granted an opportunity to repay the outstanding amount in installments.

6. Accordingly, there will be a direction to the respondent bank to accept repayment of the entire amount of Rs.57,88,323/- along with bank charges from the petitioner in the following manner:

(i) The outstanding amount of Rs.57,88,323/- together with any accrued interest/costs shall be repaid in fifteen (15) equated monthly instalments.

(ii) The first instalment shall be paid on or before 28-02-2025 and subsequent instalments shall be paid on or before last working day of each succeeding month.

(iii) In the event of default of any one instalment, the respondent bank shall be entitled to proceed in accordance with the law.

(iv) In order to enable the petitioner to repay the entire amounts, all coercive proceedings shall be kept in abeyance.

The writ petition is disposed of as above.