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2026 Supreme(Online)(Ker) 6203

IN THE HIGH COURT OF KERALA AT ERNAKULAM
BASANT BALAJI, J
KUNHIMOIDEEN – Appellant
Versus
THE SOUTH INDIAN BANK LTD – Respondent
WP(C) NO. 21656 OF 2025



Advocates:
For the Appellants/Petitioners: SRI.E.A.BIJUMON, SHRI.SREEHARI V.
For the Respondents: SHRI.MOHAN JACOB GEORGE, SMT.P.V.PARVATHY, SMT.REENA THOMAS, SMT.NIGI GEORGE, SHRI.ANANTHU V.LAL, SMT.SHERIN VARGHESE, SHRI.BRAHMA R.K.

A court may dismiss a writ petition when the underlying dispute is resolved through a settlement.

Headnote:This writ petition examines the proceedings concerning a loan obtained by the petitioner from the respondent Bank, categorized under agricultural loans governed by the SARFAESI Act. The petitioner faced default due to unavoidable circumstances leading to recovery actions, claiming the loan account was in NPA status. Upon hearing, the court found that a one-time settlement had been made, closing the loan account without further disputes. The court concludes with a statement that no adjudication is necessary due to the resolution reached between the parties.

Table of Content
1. details of loan dispute and its resolution. (Para 1 , 2)

BASANT BALAJI J ======================

W.P. (C) No. 21656 of 2025 ========================

Dated 28th day of January 2026 JUDGMENT The petitioner had obtained an agricultural loan from the respondent Bank. He is the proprietor of M.P. Farm, Vallapuzha, and, together with his wife, runs a partnership firm. The petitioner is engaged in farming activities, including cultivation of fruits, vegetables, and livestock. Credit facilities up to Rs. 4,25,00,000/- were sanctioned, and repayments were made regularly. Due to unavoidable circumstances, there was a default in payment. The respondent Bank thereafter declared the account as a non-performing asset (NPA) and initiated recovery proceedings under the SARFAESI Act . Aggrieved by these actions, the petitioner has approached this Court.

2. When the matter was taken up for consideration today, the learned counsel for both the petitioner and the respondent submitted that the entire amount due to the Bank has been remitted pursuant to a one-time settlement. Consequently, nothing survives, and the loan account stands closed.

In view of the above, there is no further dispute requiring adjudication, and accordingly, this writ petition is closed.

Sd/-

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