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2016 Supreme(Online)(KER) 24952
HIGH COURT OF KERALA
A.M.SHAFFIQUE, J
M/S VENTURE POLYMERS – Appellant
Versus
AUTHORISED OFFICER – Respondent
WRIT PETITION (CIVIL) 20449/2016
The court emphasized the importance of adherence to payment schedules under SARFAESI while balancing justice for the petitioner's failure to meet obligations.
Headnote:
SARFAESI - Writ Petition - Section 13(2) - Courts provided further time for repayment of overdue amount under SARFAESI, emphasizing the importance of complying with previous payment schedules to prevent possession.
Fact of the Case:
The petitioner challenged SARFAESI proceedings after failing to keep up with installment payments following a prior court order to repay overdue amounts in installments.
Issues: Whether to grant further time to the petitioner for repayment of overdue amounts owed to the bank under SARFAESI provisions.
Ratio Decidendi: The court determined that a balanced approach was warranted by granting one last opportunity for repayment, while reiterating compliance with payment agreements.
Final Decision: Petitioner granted one more opportunity to repay overdue amount by 20.07.2016, conditions placed on further possession proceedings.
J U D G M E N T
The petitioner has approached this Court challenging SARFAESI proceedings.
2. The petitioner had earlier approached this Court by filing W.P.(C)No.27955/2015 and by judgment dated 16.09.2015, the petitioner was permitted to repay the overdue amount with accrued interest in five equal monthly instalments starting from 15.10.2015. He was also directed to pay the regular instalments. It is submitted that though substantial amounts had been paid, the petitioner could not be keep up the payment of regular instalments. Therefore, again the respondent Bank had taken steps to take possession of the premises by approaching the Chief Judicial Magistrate and an Advocate Commissioner has been appointed, who has issued notice Ext.P3, calling upon the petitioner to surrender possession on or before 16.06.2016.
3. The learned counsel appearing for the respondent Bank submits that there is no reason to grant further time as the present overdue amount will come to ₹3,05,805/-.
4. The learned counsel for the petitioner however requests for one more opportunity to repay the overdue amount and agrees to pay the same within a period of one month.
Having regard to the aforesaid submission, I am of the view that one more opportunity could be granted to the petitioner and accordingly, this writ petition is disposed of as under :
1. The petitioner shall pay an amount of ₹3,05,805/- with accrued interest on or before 20.07.2016.
2. Until such time, further proceedings pursuant to Ext.P3 shall be kept in abeyance.
3. The petitioner shall also pay the regular instalments as directed in the judgment dated 16.09.2015 without any default.
4. If default is committed in payment of the overdue amount as well as instalments as stated above, it shall be open for the Advocate Commissioner to take possession of the premises without any further notice to the petitioner.
