WP(C)/13138/2025 of SHYJU KC Vs PNB HOUSING FINANCE LIMITED on 4 April 2025

JUDGMENT

Petitioner has approached this Court, challenging proceedings initiated by the respondent financial institution under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 for recovery of the amounts due from the petitioner.

2. During the course of hearing, petitioner has confined the relief to an opportunity for repaying the overdue amount in instalments and to obtain regularisation of the loan account.

3. It is submitted on behalf of the respondent financial institution that the petitioner availed a loan from the respondent financial institution and committed default in repayment. It is submitted that, the possession of the secured asset has already been taken. It is submitted that, the overdue amount, as on 28.03.2025, would come to Rs.14,08,111/- (Rupees Fourteen lakh eight thousand one hundred and eleven only). It is further submitted that though proceedings for recovery have been initiated, as a matter of indulgence, the respondent financial institution is willing to accept repayment of the overdue amount in limited instalments and regularise the loan account. It is submitted that, unless a substantial amount is paid towards the overdue amount, physical possession of the secured asset cannot be restored to the petitioner.

4. Learned counsel appearing for the petitioner submits that the petitioner will immediately remit 50% of the total overdue amount and on such remittance being made, the possession of the secured asset may be restored to the petitioner.

5. Having regard to the circumstances of the case and the submissions made as recorded above, I am of the view that the petitioner can be granted an opportunity to repay the overdue amount of Rs.14,08,111/- (Rupees Fourteen lakh eight thousand one hundred and eleven only) on a condition that the petitioner shall pay an amount of Rs.7,00,000/- (Rupees Seven lakh only) on or before 05.05.2025 and the balance amount along with any accrued interest, cost and charges in eight instalments and thereafter, if the amount so directed is repaid within the time as directed above, to have the loan account regularised.

5. Accordingly, there will be a direction to the respondent financial institution to accept repayment of the entire overdue amount of Rs.14,08,111/- (Rupees Fourteen lakh eight thousand one hundred and eleven only)along with accrued interest, cost and bank charges from the petitioner and regularise the loan account of the petitioner in the following manner:-

(i) Petitioner shall pay an amount of Rs.7,00,000/- (Rupees Seven lakh only) on or before 05.05.2025;

(ii) On remittance of the aforesaid sum of Rs.7,00,000/- as directed above, the possession of the secured asset shall be restored to the petitioner;

(iii) The balance overdue amount of Rs.7,08,111/- (Rupees Seven lakh eight thousand one hundred and eleven only) along with any accrued interest, cost and charges shall be paid in eight equated monthly instalments;

(iv) The first instalment shall be paid on or before 05.06.2025 and the subsequent instalments shall be paid on or before the 05th day of each succeeding months;

(v) Petitioner shall continue to pay the regular EMI’s/instalments along with the instalments directed above;

(vi) In the event of default of any one instalment, the respondent financial institution shall be entitled to proceed in accordance with the law;

(vii) In order to enable the petitioner to repay the entire amounts, all coercive proceedings shall be kept in abeyance. The writ petition is disposed of as above. Sd/- GOPINATH P. JUDGE ajt

APPENDIX OF WP(C) 13138/2025 PETITIONER EXHIBITS Exhibit-P1 THE TRUE COPY OF THE DETAILS OF LOAN ACCOUNT NO- HOU/TCR/1018/597524 DATED 26/04/2022 Exhibit-P2 THE TRUE COPY OF THE NOTICE ISSUED UNDER SECTION 13(2) OF THE SARFAESI ACT DATE 29.03.2024 Exhibit-P3 THE TRUE COPY OF THE NOTICE ISSUED BY THE ADVOCATE COMMISSIONER DATED 8/2/2025 ALONG WITH TYPED COPY