The court established that a cooperative approach to debt repayment merits judicial intervention to facilitate compliance with loan obligations.

ORDER

The petitioner had approached this Court by filing W.P.(C)No.1076/2023, which was disposed of by judgment dated 16-01-2023, finding that the petitioner has not demonstrated her bonafides warranting the exercise of jurisdiction of this Court under Article 226 of the Constitution of India in matters arising under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI Act) .

2. The review petition has been filed stating that though the petitioner could not pay the amount of Rs.10,00,000/- within the time specified by this Court in the interim order in W.P.(C)No.1076/2023, the petitioner is now willing to pay the said amount. Accordingly when this matter came up for consideration on 10-02-2023, it was adjourned to 14-02-2023 and thereafter to today. When this matter is taken up for consideration today, it is not disputed before me that the petitioner has paid a sum of Rs.10,00,000/- towards the loan liability and the balance overdue amount as on 31-01-2023 is Rs.13,15,279/-.

3. The learned Senior Counsel appearing for the respondent financial institution would very fairly submit that if the petitioner was to clear the entire overdue amount by 28-03-2023, the loan account of the petitioner can be regularized.

4. The learned counsel appearing for the petitioner would submit that the petitioner will deposit a further sum of Rs.7,00,000/- towards the overdue amount by 28-03-2023 and the petitioner may be permitted to clear the balance overdue amounts in some installments.

5. Having heard the learned counsel appearing for the petitioner and the learned Senior Counsel appearing for the respondent financial institution, the review petition can be disposed of permitting the petitioner to clear the overdue amounts in respect of the loans availed by the petitioner along with her husband in the following manner:

(i) The petitioner shall pay a sum of Rs.7,00,000/-

towards the overdue amounts on or before 28-03-2023;

(ii) The balance overdue amount of Rs.6,15,279/- (as on

31-01-2023) along with any accrued interest and costs shall be repaid in ten (10) equated monthly installments;

(iii) The first installment shall be paid on or before

12-04-2023. The subsequent installments shall be paid on or before the 12th day of the succeeding months;

(iv) The petitioner shall also pay the regular EMI’s due on the loans availed by her along with her husband on the respective due dates without fail;

(v) If any of these conditions are violated, it will be open to the respondent financial institution to continue with the proceedings now initiated against the petitioner from the stage at which it has now been stopped.

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

The review petition is allowed, as above.