The court allowed the petitioner to repay a defaulted business loan in installments, emphasizing the need for a reasonable opportunity while preserving the bank's rights in case of default.

J U D G M E N T

The petitioner availed a Business loan 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 Standing counsel appearing for the respondent bank submits that the term of the loan expired and regularisation is not possible. It is submitted that the outstanding amount as on 13-01-2025 is Rs.15,44,829/- after giving credit to the amount paid by the petitioner in terms of the interim order dated 20-12-2024. It is submitted that some reasonable installments can be given to the petitioner to clear the entire liability.

4. 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.

5. Accordingly, there will be a direction to the respondent bank to accept repayment of the entire amount of Rs.15,44,829/- along with bank charges from the petitioner on the following conditions:

(i) The outstanding amount of Rs.15,44,829/- 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 31-01-2025 and subsequent instalments shall be paid on or before the 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.