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2007 Supreme(Online)(KER) 47501
HIGH COURT OF KERALA
K.M.JOSEPH, J
MARIYAKUTTY MATHEW – Appellant
Versus
THE JOINT REGISTRAR OF CO-OP. SOCIETIES – Respondent
WP(C)/19239/2007
SRI. N.RAGHURAJ, Smt. K. AMMINIKUTTY, SRI. P.K. RAVIKRISHNAN, SRI. C.E. UNNIKRISHNAN, RENJITH XAVIER
Guarantors have the right to request payment arrangements based on benefit provisions, which can protect against immediate property sales.
Headnote:
Loan - Guarantor Rights - Circular No.30/07 - The court ordered the bank to provide the petitioner with a statement of payable amounts after applying benefits under Circular No.30/07, allowing payment in equal installments to prevent property sale.
Fact of the Case:
The petitioner, a guarantor for a loan, sought to prevent the sale of his property by the bank based on a notice and requested installment payments under a specific circular.
Finding of the Court:
The court directed the bank to share the payable amount with the petitioner incorporating benefits from the specified circular, allowing installment payments to manage the debt.
Issues: Whether the petitioner can prevent the bank from selling his property while being liable as a guarantor and the applicability of the circular benefits.
Ratio Decidendi: The judgment emphasized the importance of the circular benefits in financial obligations and the rights of guarantors in managing loan repayment through installments.
Final Decision: The writ petition was disposed of with an order for installment payments.
JUDGMENT
The prayer in the writ petition is a direction to the second and third respondents to refrain from selling the property of the petitioner in pursuance of Ext.P4 notice and also pass orders on Ext.P5 application and to grant sufficient instalments to clear off the loan availed by the 4th respondent for which petitioner stood as a guarantor.
2. I heard learned counsel for the third respondent also.
He would submit that petitioner may be entitled to the benefit of Circular No.30/07 and whatever the benefits which the petitioner is entitled to will be granted to the petitioner. The writ petition is disposed of as follows:
The third respondent bank will serve a statement on the petitioner within two weeks from today showing the amount payable by the petitioner after giving the benefit which the petitioner is entitled to under Circular No.30/07 . The amount WPC No. 2 shown as payable in the statement to be served by the third respondent shall be paid by the petitioner in 5 equal monthly instalments, the first of which shall be payable on or before 16/08/2007. Petitioner is to pay the remaining intalments on or before the 16th of every succeeding months. If the petitioner does not pay any of the instalments as aforesaid, it is open to the third respondent to proceed against the petitioner in accordance with law. Proceedings will be kept in abeyance if the petitioner complies with the terms of the judgment.
(K.M.JOSEPH, JUDGE)
sv.
WPC No. 3
