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2026 Supreme(Online)(Ker) 22594
IN THE HIGH COURT OF KERALA AT ERNAKULAM
P. V. BALAKRISHNAN, J
KIRAN KUMAR P. – Appellant
Versus
CAN FIN HOMES LIMITED – Respondent
WP(C) NO. 10964 OF 2026
For the Appellants/Petitioners: SHRI.MITHUN P., SMT.MERIN THOMAS
For the Respondents: SHRI.VISHNU DAS, SC
The court authorized installment payments for overdue debts under SARFAESI Act conditions.
Headnote:The petitioner filed this writ petition seeking relief against coercive action under the SARFAESI Act. The petitioner requested an opportunity to clear an overdue amount of Rs.4,43,102/- in installments. The court found merit in the respondent's willingness to allow installments and thus permitted the petitioner to repay the amount, subject to compliance with conditions outlined. The final ruling was in favor of allowing installment payments to regularise the loan account.
| Table of Content |
|---|
| 1. court's review of coercive action under sarfaesi act. (Para 1 , 2 , 4) |
| 2. petitioner's request for payment installment opportunity. (Para 3) |
| 3. court orders structuring of repayment to regularise loan. (Para 5) |
JUDGMENT
Dated this the 27th day of March, 2026 It is aggrieved by the coercive action taken by the respondent 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 respondent.
3. The learned counsel for the petitioner submits that an opportunity may be given to the petitioner to clear the overdue amount in installments.
4. The learned counsel for the respondent submitted that the respondent 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 date, is Rs.4,43,102/- (Rupees Four Lakhs Forty Three Thousand One Hundred and Two only)
5. Hence, considering the submissions made by the learned counsel for the respondent 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.4,43,102/- (Rupees Four Lakhs Forty Three Thousand One Hundred and Two 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 a sum of Rs.75,000/- (Rupees Seventy Five Thousand only) on or before 10th April, 2026 to the respondent;
(ii) Thereafter, the petitioner shall remit the balance overdue amount with interest in six equal monthly installments, commencing from May, 2026, and such installments shall be paid on or before 10th of every month;
(iii) The petitioner shall also continue to pay the regular EMIs/Installments along with the installments as directed afore;
(iv) If the petitioner complies with the above directions, the respondent shall regularise the loan account and in case of failure to pay any of the installments as ordered afore, the respondent will be at liberty to continue with the coercive steps already taken.
