JUDGMENT

Dated this the 15th day of November, 2022 The petitioner has availed two loans from the respondent bank; one is a loan against property and the 2nd loan is stated to be a housing loan.

2. The learned counsel appearing for the petitioner submits that the petitioner was permitted to settle the entire liability through Exts.P11 and P11(a) communications through which the petitioner was required to remit a sum of Rs.3,28,00,000/- against the property loan and Rs.19,77,084/- against the housing loan. It is submitted that the petitioner was required to clear the liability in terms of the instalments mentioned in Exts.P11 and P11(a). It is submitted that the petitioner could not remit the full amount as permitted by the bank. It is submitted that at present there is an RBI circular regarding the extension of One Time Settlement facility to the borrowers like the petitioner and the respondent bank is bound to consider the case of the petitioner in terms of that circular. The learned counsel also submits that the petitioner has entered into a registered sale agreement for sale of one of the items of property belonging to the petitioner. Reference in this regard is made to Exts.P13 and P13(a). It is submitted that the reading of Exts.P13 and P13(a) will show that the petitioner will receive substantial amounts by the end of December, 2022. It is submitted that these amount will be more than sufficient to clear the entire liability of the respondent bank.

3. The learned counsel appearing for the respondent bank submits that since the petitioner did not comply with the schedule for payment under the One Time Settlement, the One Time Settlement stands cancelled and as on 07.11.2022, an amount of Rs.4,02,37,893/- is due in respect of the loan availed against the property and a sum of Rs.15,94,904.27 is due in respect of the housing loan. It is submitted that the petitioner has no legal right to claim that the proceedings must be kept in abeyance till the petitioner is able to complete the transactions referred to in Exts.P13 and P13(a). It is submitted that the petitioner has been extended every benefit possible while granting the earlier One Time Settlement and no further concession can be granted to the petitioner. It is also pointed out that the proceedings under the SARFAESI Act have been pending since 2019. It is also pointed out that the petitioner had approached this Court earlier on two occasions and those writ petitions were disposed of granting time to the petitioner to clear the liability. It is submitted that the petitioner has not complied with the terms on which he was permitted to clear the liability.

4. Having heard the learned counsel for the petitioner and the learned counsel appearing for the respondent bank, this writ petition will stand disposed of in the following manner;

i) The petitioner shall be granted time till

31.12.2022 to clear the entire liability in respect of both the loans referred to above together with any accrued interest and costs;

ii) In view of the assertion of the learned counsel for the petitioner that there is a One Time Settlement Scheme to which the petitioner is entitled, it is directed that if the petitioner makes an application for the benefit of any such Scheme along with a payment of Rs.10,00,000 (Rupees Ten lakhs only) within one week from today, a competent authority of the respondent bank shall take a decision on the proposal submitted by the petitioner and shall intimate to the petitioner the amount to be paid on or before 31.12.2022 to settle the liability;

iii) If the One Time Settlement facility is not granted to the petitioner, the petitioner shall pay the amounts mentioned above ie., Rs.4,02,37,893/- in respect of the loan against property and an amount of Rs.15,94,904.27 in respect of the housing loan along with any accrued interest and costs from 07.11.2022 till the date of payment, on or before 31.12.2022;

iv) If the petitioner fails to settle the liability as aforesaid eithe