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2022 Supreme(Online)(KER) 7745
HIGH COURT OF KERALA
GOPINATH P, J
SESIL JOSEPH, – Appellant
Versus
AXIS BANK LIMITED, – Respondent
WP(C)/20085/2022
E.A.BIJUMON, P.PAULOCHAN ANTONY
Parties can negotiate loan repayment terms, and compliance with agreed terms can lead to the suspension of coercive recovery actions.
Headnote:
Loan - Understanding between parties - Securitisation Applications - Section 13(2) - Time extension granted to clear loans.
Fact of the Case:
The petitioner reached an agreement with the respondent bank for a three-month extension to clear outstanding loans, contingent upon withdrawing pending Securitisation Applications.
Finding of the Court:
The court acknowledged the consent for an extension of time and recorded the petitioner’s willingness to withdraw Securitisation Applications, granting a stay on coercive steps until the deadline.
Issues: Whether the petitioner should be granted additional time to satisfy the loan obligations and the implications of withdrawing Securitisation Applications.
Ratio Decidendi: The court emphasized the importance of mutual understanding in loan agreements, reinforcing the ability to negotiate repayment terms.
Final Decision: The writ petitions were disposed of, granting time until 30.9.2022 to clear the loan.
JUDGMENT
[WP(C) Nos.19976/2022, 20085/2022]
When these matters are taken up for consideration today, it is the submission of the learned counsel for the petitioner that the petitioner has entered into an understanding with the respondent bank that the petitioner may be given three months' time to clear the entire loan amount in respect of both the loans to the 1st respondent bank.
2. The learned Standing Counsel does not dispute this fact. It is submitted that this extension of time is on condition that the Securitisation Applications as S.A.Nos.35 & 36 of 2020 pending before the Debt Recovery Tribunal-I, Ernakulam will be withdrawn after giving up all contentions.
3. The learned counsel for the petitioner submits that the petitioner is ready to withdraw the above Securitisation Applications and withdraw all contentions raised by him. This is recorded.
The writ petitions are disposed of granting time till 30.9.2022 to the petitioner to clear the entire liability with the respondent bank. Coercive steps against the petitioner shall remain suspended till 30.9.2022. It will always be open to the petitioner to apply for One Time Settlement also.
sd/-
GOPINATH P.
JUDGE acd APPENDIX OF WP(C) 20085/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE DEMAND NOTICE ISSUED UNDER SECTION 13(2) BY THE DATED
16.08.2019.
Exhibit P2 TRUE COPY OF THE REPLAY DATED 30.08.2019 ON OBJECTION IN SECTION 13(2) NOTICE.
Exhibit P3 TRUE COPY OF THE JUDGMENT IN W.P.C NO.
23731/2019 HIGH COURT OF KERALA, DATED
02.09.2019.
Exhibit P4 TRUE COPY OF POSSESSION NOTICE UNDER RULE
8(1) OF SECURITY INTEREST (ENFORCEMENT)
RULES, 2002 DATED 17.12.2019.
APPENDIX OF WP(C) 19976/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE DEMAND NOTICE ISSUED UNDER SECTION 13(2) BY THE DATED 16.8.2019.
Exhibit P2 TRUE COPY OF THE OBJECTION DATED7.9.2019.
Exhibit P3 TRUE COPY OF THE JUDGMENT IN WP(C)
NO.23721/2019 HIGH COURT OF KERALA DATED
2.9.2019.
Exhibit P4 TRUE COPY OF POSSESSION NOTICE UNDER RULE
8(1) OF SECURITY INTEREST (ENFORCEMENT)
RULES, 2002 DATED 17.12.2019.
