VASANTHA T v. PAPPINISSERI SERVICE CO-OPERATIVE BANK LTD

SRI MAHESH V RAMAKRISHNAN, SC FOR PAPPINISSERI SERVICE CO-OPERATIVE BANK THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13.03.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC 3504 of 2024 2 JUDGMENT The petitioner asserts that she obtained a loan of Rs.7,13,000/- from the 1st respondent Bank, with her immovable property mortgaged as security. However, due to severe financial crises, she was unable to make timely repayments. Consequently, arbitration proceedings were initiated and an award has been obtained. She has now been served with Exts.P1 and P2 notices threatening her with the sale of the mortgaged property. It is on these assertions that this writ petition is filed seeking issuance of directions to the respondent bank to permit the petitioner to repay the amount through manageable installments.

#2. The learned Standing Counsel appearing for the respondents submitted that the total outstanding as of the date due from the petitioner is about Rs.11,32,256/-. It is submitted that the bank is willing to grant the petitioner an opportunity to clear the outstanding. However, he submits that not more than eight installments be granted.

#3. Upon careful consideration of the submissions made by both parties, it is evident that the petitioner owes in excess of Rs.11.32 lakhs to the 1st respondent Bank. The respondents have agreed to permit the petitioner to settle these debts through a limited number of installments. As a measure of last resort, I am inclined to issue directions to facilitate the WPC 3504 of 2024 3 petitioner in discharging her financial obligations to the 1st respondent. This approach is deemed necessary to provide a structured pathway for the petitioner to clear off her monetary liabilities in a manageable manner. Resultantly, this writ petition is ordered, and the following directions are issued: (i) The petitioner shall approach the 1st respondent with a request to inform her of the details of the outstanding amount together with interest and other charges due from her 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 1st respondent shall forthwith issue a statement in writing detailing the amounts. (ii) On receipt of such a statement, petitioner shall pay the amounts shown therein in fifteen (15) equal monthly installments commencing from 15.4.2024 and continue to pay the same on every successive month thereafter until the entire loan is wiped off. (iii) If the amounts are diligently paid in terms of the directions above, coercive proceedings initiated against her by the respondents for the realization of the amount shall be kept abeyance. (iv) It is made clear that the petitioner commits default of any two installments, she WPC 3504 of 2024 4 will lose the benefit of this judgment, and the concerned respondents will be free to continue the recovery proceedings against her from the stage at which she presently stands and recover the entire amount along with interest and other charges. (v) It is further made clear that no application for an extension of time will be entertained. Sd/- RAJA VIJAYARAGHAVAN V JUDGE IAP WPC 3504 of 2024 5 APPENDIX OF WP(C) 3504/2024 PETITIONER’S EXHIBITS: Exhibit P 1 Exhibit P 2 A TRUE COPY OF THE NOTICE DATED 28.12.2023 ISSUED THE BY PETITIONER RESPONDENT THE 3RD TO OF TRUE COPY A DATED 12.01.2024 PUBLISHED BY THE 3RD RESPONDENT NOTIFYING THE OF THE PETITIONER ON 30.01.2024 PROPERTY NOTICE SALE SALE THE OF