ABEESH K v. REGISTRAR OF CO OPERATIVE SOCIETIES

SMT. MABLE C KURIEN, SR. GP., SRI. M PRAMODH KUMAR, SC FOR KOMMERI SERVICE CO-OPERATIVE BANK THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON

31.01.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 167 OF 2024 2 JUDGMENT The petitioner states that he had availed a loan for a sum of Rs. 10 lakhs from the 2nd respondent Bank. Towards collateral, immovable property was furnished. The petitioner states that he suffered substantial losses in his business operations, which impaired his finances, and was not able to pay the loan installments on time. Consequently, arbitration proceedings were initiated, and an award has been obtained. He has now been issued with Exhibit P1 notice threatening the auction of immovable property mortgaged. It is on these assertions that this writ petition is filed seeking directions.

The learned Standing Counsel appearing for the 2nd respondent Bank submits that the total outstanding as of date is about Rs.19,84,990/-. It is further submitted that the 2nd respondent is not averse to granting an opportunity to the petitioner to clear the amount due in installments.

I have considered the submissions advanced and have carefully gone through the records.

Upon careful consideration of the submissions made by both parties, it is evident that the petitioner owes in excess of Rs.19 lakhs to the 2nd respondent Bank. The respondents, very fairly, have agreed to permit the petitioner to settle the amount through a limited number of installments. As a measure of last resort, I am inclined to issue directions WP(C) NO. 167 OF 2024 3 to facilitate the petitioner in discharging his financial obligations to the 2nd respondent. This approach is deemed necessary to provide a structured pathway for the petitioner to clear off his monetary liabilities in a manageable manner.

Resultantly, this writ petition is ordered, and the following directions are issued:

The petitioner shall approach the 2nd respondent with a request to inform him of the details of the outstanding, together with interest and other charges due from him in respect of the loan account. If such a request is made within two weeks from the date of receipt of a copy of this judgment, the respondent shall forthwith issue a statement in writing detailing the amounts due.

2. On receipt of such a statement, the petitioner shall pay the amounts shown therein in fifteen (15) equal monthly installments commencing from 15.3.2024 and continue to pay the same on every successive month thereafter until the entire loan is wiped off.

3. If the amounts are diligently paid in terms of the directions above, coercive proceedings initiated against him by the respondent for the realization of the amount shall be kept in abeyance. WP(C) NO. 167 OF 2024 4

4. It is made clear that if the petitioner commits default of any two installments, he will lose the benefit of this judgment, and the concerned respondent will be free to continue the recovery proceedings against him from the stage at which he presently stands and recover the entire amount along with interest and other charges.

5. It is further made clear that no application for an extension of time will be entertained. DCS RAJA VIJAYARAGHAVAN V, JUDGE WP(C) NO. 167 OF 2024 5 APPENDIX OF WP(C) 167/2024 PETITIONER EXHIBITS Exhibit P1 THE TRUE COPY OF THE AUCTION NOTICE DATED 05/10/2023 ISSUED BY THE SPECIAL SALES OFFICER