CHENNEGOWDA, S/O. SRI BETTEGOWDA Vs. THE KARNATAKA STATE FINANCIAL CORPORATION ESTABLISHED UNDER THE STATE FINANCIAL CORPORATION ACT, 1951, REP. BY ITS MANAGER, THE KARNATAKA STATE FINANCIAL CORPORATION, REP. BY SPECIAL TAHASILDAR AND SRI B.V. P

JUDGEMENT

(1.) IN this writ petition, the Petitioner is challenging the auction Notification dated 29.12.2010 issued by the second Respondent published in Vijaya Karnataka Kannada daily Newspaper bringing the residential house of the Petitioner for sale for realisation of the loan advanced to the third Respondent. Petitioner is the guarantor. As the third Respondent has failed to discharge the loan, the property in question owned by the Petitioner, which is the subject matter of security for the repayment of loan, is brought for sale. The date of auction is fixed on 20.1.2011.

(2.) THE main contention of the learned Counsel for the Petitioner is that by virtue of the order at Annexure -F passed by the State Government dated 30.6.2010, the period for repayment by availing the benefit of one -time settlement scheme, has been extended till 31.3.2011 and therefore, the said benefit under the said scheme as per Government Order No. F.D.56.BFC.2009 dated 26.9.2009 as extended on 30.6.2010 is available to the Petitioner, But, ignoring the same, the property of the Petitioner Is brought for sale, which is illegal.

(3.) HAVING heard the learned Counsel for the parties and on consideration of the respective contentions, I find that the benefit of the One -time Settlement Scheme is no doubt extended till 31.3.11. However, the fact remains that the Petitioner had given an undertaking before this Court assuring that he along with the third Respondent would discharge the loan on or before 31.3.10. Learned Counsel appearing for the Petitioner submits that on account of certain unforeseen difficulties, the Petitioner could not adhere to the time schedule and discharge the obligation. He requests for grant of some time to pay off the loan as otherwise the Petitioner would be deprived of the residential house which is the subject matter of mortgage. The Petitioner is also present before the Court.