Court allows structured repayment of loans in installments under cooperative banking regulations.

JUDGMENT

Petitioner availed credit facilities from the 3^rd respondent bank. On default being committed, proceedings were initiated against the petitioner under the provisions of the Kerala State Co- operative Agricultural and Rural Development Bank Act, 1984 leading to issuance to Exhibit P1 notice. This prompted the petitioner to approach this Court by filing the above writ petition.

2. Learned counsel appearing for the petitioner would submit that the petitioner is only seeking the liberty of repaying the entire amount in some instalments.

3. Learned counsel appearing for the respondent bank would submit that the bank has no objection in some reasonable instalments being permitted to the petitioner to clear the entire liability. It is submitted that the outstanding amount, as on 12.11.2025, is Rs.9,81,263/- (Rupees Nine lakhs eighty one thousand two hundred and sixty three only).

4. Having regard to the facts and circumstances of the case and 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 fifteen instalments.

5. Accordingly, there will be a direction to the respondent bank to accept repayment of the entire outstanding amount of Rs.9,81,263/- (Rupees Nine lakhs eighty one thousand two hundred and sixty three only) along with accrued interest, costs and bank charges from the petitioner in the following manner:

(i) The outstanding amount of Rs.9,81,263/- (Rupees Nine lakhs eighty one thousand two hundred and sixty three only) shall be repaid in fifteen equated monthly instalments along with any accrued interest, costs and charges;

(ii) The first instalment shall be paid on or before 20.12.2025 and the subsequent instalments shall be paid on or before the 20^th day of the succeeding months;

(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 as above, all coercive proceedings shall be kept in abeyance.

The writ petition is disposed of as above.