Kerala High Court
K.T.Muhammed vs Service Co-Operative Bank Ltd.No.F 583 on 21 January, 2019
Author: Anil K.Narendran
Bench: Anil K.Narendran
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN
MONDAY,THE 21ST DAY OF JANUARY 2019 / 1ST MAGHA, 1940
WP(C).No. 32219 of 2018
PETITIONER:
K.T.MUHAMMED,
AGED 46 YEARS, S/O POKKER,
KAZHUNGUM THOTTATHIL,
VAKKANADU (HOUSE),
VALAKARA P.O., KOOMANNA,
MALAPPURAM DISTRICT-676 306.
BY ADVS.SRI.JESWIN P.VARGHESE
SMT.K.P.SURYA
RESPONDENTS:
1 SERVICE CO-OPERATIVE BANK LTD.NO.F 583,
ABDURAHIMAN NAGAR (A.R. NAGAR), A.R. NAGAR (P.O.),
MALAPPURAM DISTRICT, PIN 676 305
REPRESENTED BY ITS SECRETARY.
2 THE SPECIAL SALES OFFICER/ARBITRATOR,
(SERVICE CO-OPERATIVE BANK LTD NO.F.583,A.R NAGAR)
OFFICE OF THE ASST.REGISTRAR (J) OF CO-OPERATIVE
SOCIETIES, TIRURANGADY ,P.O,
MALAPPURAM DISTRICT ,PIN-676 306.
3 THE JOINT REGISTRAR,
OFFICE OF THE JOINT REGISTRAR OF CO-OPERATIVE
SOCIETIES, MALAPPURAM DISTRICT,PIN-676505.
BY ADVS.SMT.ANITHA RAVINDRAN
SRI.B.S.SWATHY KUMAR
SRI.K.P.HARISH, SENIOR GOVERNMENT PLEADER
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
21.01.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C).No. 32219 of 2018
-2-
JUDGMENT
The petitioner, who availed a loan for Rs.10 lakhs from the 1st respondent Bank in the year 2011, vide loan account No.NAMT 372, for house repair, offering as security property having an extent of 23 cents in Survey No.145/2 and a residential building bearing No.215 in Ward No.15 of Peruvallur Grama Panchayat, has filed this writ petition under Article 226 of the Constitution of India, seeking a writ of certiorari to quash Ext.P1 execution petition dated 03.04.2018 filed by the 1st respondent Bank and Ext.P2 demand notice dated 19.09.2018 issued by the 2 nd respondent Special Sale Officer; and seeking a writ of mandamus commanding the 1st respondent to consider Ext.P3 representation dated 27.09.2018 made by the petitioner and till such time, to keep in abeyance all further proceedings pursuant to Ext.P2 demand notice. The petitioner has also sought for a writ of mandamus commanding the 1st respondent Bank to recalculate the amount due, by granting the benefit of waiver of penal WP(C).No. 32219 of 2018 -3- interest and surcharge, from the demand amount.
2. On 04.10.2018, when this writ petition came up for admission, urgent notice on admission by speed post was ordered to respondents 1 and 2, returnable within two weeks. The learned Senior Government Pleader took notice on admission for the 3rd respondent.
3. A counter affidavit has been filed by the 1st respondent Bank, wherein it has been stated that, since the petitioner failed to repay any amount, after availing the loan for Rs.10 lakhs, the respondent initiated arbitration proceedings by filing ARC No.2059 of 2013 and obtained Ext.R1(c) ex-parte award dated 11.03.2014. Even after the award, the petitioner has not chosen to make any repayment. The maximum possible concessions have already been extended by the 2nd respondent Special Sale Officer/Arbitrator, including waiver of interest for Rs.15,051/- as per Circular No.C.P.(4) 1292/2014-Aswas- 2014 of the Registrar of Co-operative Societies.
4. A statement has been filed by the 3 rd respondent, WP(C).No. 32219 of 2018 -4- opposing the reliefs sought for in this writ petition.
5. Along with a memo filed by the learned Senior Government Pleader, Circular No.61/2018 dated 26.11.2018 and Circular No.67/2018 dated 31.12.2018 issued by the Registrar of Co-operative Societies, introducing One Time Settlement Scheme, i.e., Navakeraleeyam Kudissika Nivaranam-2019 is placed on record.
6. Heard the learned counsel for the petitioner, the learned counsel for the 1st respondent Bank and also the learned Senior Government Pleader appearing for the 3 rd respondent Joint Registrar. Despite service of notice, none appears for the 2nd respondent Special Sale Officer.
7. The learned counsel for the petitioner would point out that, the fact that the petitioner could not make any remittance after availing a loan for Rs.10 lakhs in the 1st respondent Society is disclosed in paragraph 1 of the writ petition. The learned counsel would also point out that, in view of the One Time Settlement Scheme, i.e., WP(C).No. 32219 of 2018 -5- Navakeraleeyam Kudissika Nivaranam-2019, the petitioner shall approach the competent authority in the 1 st respondent Bank, within one week from the date of receipt of a certified copy of this judgment, in order to close the loan account by availing the benefit of the said Scheme.
8. The learned counsel for the 1st respondent Bank would submit that, if any such request is made by the petitioner, the 1st respondent shall consider the same and pass appropriate orders thereon, subject to the eligibility of the petitioner as per the provisions under Navakeraleeyam Kudissika Nivaranam-2019.
In such circumstances, this writ petition is disposed of with the following directions;
i) Within one week from the date of receipt of a certified copy of this judgment, the petitioner shall approach the competent authority in the 1 st respondent Bank seeking settlement of dues of his liability covered by Ext.P2 demand notice, by availing the benefit under Navakeraleeyam Kudissika Nivaranam-2019.
ii) If any such request is received, the 1st respondent shall consider the same and take an appropriate decision on that request, with notice to the petitioner, WP(C).No. 32219 of 2018 -6- taking note of the conditions stipulated in Circular Nos.61 and 67 of 2018 issued by the Registrar of Co-operative Societies, as expeditiously as possible, at any rate, within one week thereafter.
iii) Based on the said decision, the petitioner shall pay off the dues, without any default.
Sd/-
ANIL K. NARENDRAN JUDGE bpr WP(C).No. 32219 of 2018 -7- APPENDIX PETITIONER'S EXHIBITS:
EXHIBIT P1 A TRUE COPY OF EXECUTION PETITION FILED BY THE 1ST RESPONDENT DATED 03.04.2018.
EXHIBIT P2 A TRUE COPY OF DEMAND NOTICE NO.1 ISSUED TO THE PETITIONER BY THE 2ND RESPONDENT DATED 19.09.2018.
EXHIBIT P3 A TRUE COPY OF THE REPRESENTATION SUBMITTED TO THE 1ST RESPONDENT DATED 27.09.2018.
RESPONDENTS' EXHIBITS:
EXHIBIT R1(A) TRUE COPY OF THE LOAN APPLICATION SUBMITTED BY THE PETITIONER DATED 15.03.2011.
EXHIBIT R1(B) TRUE COPY OF THE NAMT VOUCHER EVIDENCING PAYMENT OF RS.10,00,000/- TO THE PETITIONER ON 15.03.2011.
EXHIBIT R1(C) TRUE COPY OF THE AWARD IN ARC NO.2059/2013 DATED 11.03.2014.
//TRUE COPY// P.A. TO JUDGE