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2026 Supreme(Online)(Ker) 20483
IN THE HIGH COURT OF KERALA AT ERNAKULAM
P. V. BALAKRISHNAN, J
ANILKUMAR – Appellant
Versus
KERALA BANK (KERALA STATE CO-OPERATIVE BANK) – Respondent
WP(C) NO. 43755 OF 2025
For the Appellants/Petitioners: SHRI.B.MOHANLAL, SMT.P.S.PREETHA, SHRI.MOTTY JIBY VASUDEVAN, SHRI.ABIJITH M., SMT. AVANI NAIR, SMT.JAYAPRABHA ARJUN, SMT.PRAVEENA T.
For the Respondents: SRI. P. C. SASIDHARAN, SC
The court permits installment repayments under the SARFAESI Act while allowing enforcement measures upon non-compliance.
Headnote:The judgment analyzes the enforcement of the SARFAESI Act, addressing a writ petition challenging actions taken by the Kerala Bank. The petitioner is granted an opportunity to repay overdue amounts of Rs. 3,26,775 in installments. The court permits the bank to enforce actions if payments are not made. The petition is allowed under specified terms.
| Table of Content |
|---|
| 1. petitioner's challenge under sarfaesi act. (Para 1 , 2) |
| 2. respondent's willingness for installment payments. (Para 3) |
| 3. court's directive for repayment and conditions. (Para 4) |
P.V. BALAKRISHNAN, J.
….....................................
…........................................................... Dated this the 23rd day of March, 2026 JUDGMENT It is aggrieved by the coercive action taken by the respondents under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act , 2002 (hereinafter referred to as the ‘SARFAESI Act' for short), this writ petition has been preferred by the petitioner.
2. Heard the learned counsel for the petitioner and the learned Standing Counsel for the respondents.
3. The learned counsel for the respondents submitted that the bank has no objections in permitting the petitioner to clear the overdues with interest, by way of installments and regularise the loan account since, the same is only beneficial to it. He also submitted that the overdue amount as on 22.03.2026 is Rs.3,26,775/- (Rupees Three Lakhs Twenty Six Thousand Seven Hundred Seventy Five only).
4. Hence, considering the submissions made by the learned counsel for the respondents and the facts and circumstances of this case, I am of the view that the petitioner can be granted an opportunity to clear the entire overdue amount of Rs.3,26,775/- (Rupees Three Lakhs Twenty Six Thousand Seven Hundred Seventy Five only) with interest, in installments and regularise the account subject to terms.
Accordingly, this writ petition is allowed as follows;
(i) The petitioner shall remit the entire overdue amount with interest, in 10 equal monthly installments starting from the month of April, 2026 and such payments shall be made on or before 25th of every month.
(ii) The petitioner shall also continue to pay the regular EMIs/Installments along with the installments as directed afore.
(iii) If the petitioner complies with the above directions, the respondents shall regularise the loan account and in case of failure to pay any of the installments as ordered afore, the bank will be at liberty to continue with the coercive steps already taken.
