The court has equitable jurisdiction to scale down interest rates and permit instalment payments in company liquidation debt recovery matters.

JUDGMENT

This company claim has been instituted seeking a decree against the respondent for a sum of Rs.51,500/- along with interest at the rate of 12% per annum from the date of default i.e., 24.08.2020 till the date of realisation.

2. Heard Smt.S.Jasmine, the learned Standing Counsel for the Official Liquidator, as well as Sri.T.K.Biju, the learned counsel for the respondent.

3. Sri.Biju, the learned counsel for the respondent, fairly points out that the respondent only requires an instalment facility. He would further state that the interest claimed is at 12% per annum, which may also be scaled down.

4. Taking note of the contentions raised as above, I am of the opinion that this company claim could be decreed, after scaling down the interest to 6% per annum. The respondent is also granted six monthly instalments for clearing the arrears.

Accordingly, this company claim is decreed and an amount of Rs.51,500/- is realisable along with interest at the rate of 6% per annum on the principal debt amount from 24.08.2020 till the date of realisation.

The respondent would be entitled to clear the afore amount in six equal monthly instalments, commencing from 07.07.2026. If two successive defaults are committed by the respondent, the benefits of this judgment would stand recalled.

No costs.