The court allows a petitioner an opportunity to pay overdue amounts to prevent coercive action under the SARFAESI Act.

JUDGMENT

Dated this the 23^rd day of March, 2026 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 petitioner submits that an opportunity may be given to the petitioner to clear the overdue amount.

4. The learned counsel for the respondents submitted that the total overdue amount as on date, is Rs.3,10,000/- (Rupees Three Lakhs Ten Thousand only) and if the petitioner remits the amount within a period of one month from today, the bank will not take any coercive steps against the petitioner.

5. 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 overdue amount of Rs.3,10,000/- (Rupees Three Lakhs Ten Thousand only)

with interest and regularise the account subject to terms.

Accordingly, this writ petition is allowed as follows:

(i) The petitioner shall remit the entire overdue amount of Rs.3,10,000/- (Rupees Three Lakhs Ten Thousand only) to the bank within a period of one month from today;

(ii) The petitioner shall also continue to pay the regular EMIs/Installments along with the amount as directed afore;

(iii) If the petitioner complies with the above direction, the respondents shall regularise the loan account and in case of failure to pay the amount as ordered afore, the bank will be at liberty to continue with the coercive steps already taken.