Court permits installment repayment and pauses coercive actions under the CARD Act for recovery of outstanding dues.

JUDGMENT The petitioner has approached this Court challenging proceedings initiated under the Kerala State Co-operative Agricultural and Rural Development Bank Act, 1984 (in short ‘CARD Act’) by the respondent bank for recovery of the amounts due from the petitioner.

2. The learned counsel for the petitioner would submit that the petitioner may be permitted to clear the liability in instalments.

3. The learned counsel for the respondent bank submits that the petitioner committed default in repayment of a loan and the outstanding amount as on 13.01.2026 is Rs.61,82,348/- (Rupees sixty one lakhs eighty two thousand three hundred and forty eight only). It is further submitted that though proceedings for recovery have been initiated, as a matter of indulgence, the respondent bank is willing to accept repayment of the outstanding amount in limited instalments.

4. Having regard to the 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 along with any accrued interest, costs and charges in 18 instalments.

5. Accordingly, there will be a direction to the respondent bank to accept repayment of the entire outstanding amount of Rs.61,82,348/- (Rupees sixty one lakhs eighty two thousand three hundred and forty eight only) along with any accrued interest, costs and charges from the petitioner in the following manner:-

(i) The petitioner shall pay the outstanding amount of Rs.61,82,348/- (Rupees sixty one lakhs eighty two thousand three hundred and forty eight only) along with any accrued interest, costs and charges in 18 equated monthly instalments;

(ii) The first instalment shall be paid on or before 20.02.2026 and the subsequent instalments shall be paid on or before the 20^th day of every 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, all coercive proceedings shall be kept in abeyance.

The writ petition is disposed of as above.

Sd/-