SATHYAPAL Vs. INDIAN OVERSEAS BANK

JUDGEMENT

(1.) The challenge is to the coercive proceedings of loan recovery instituted under the provisions of SARFAESI Act , 2002. Learned counsel for the Petitioner having argued the matter for some time, now has come up with a Memo of Undertaking dtd. 4/8/2023 which reads as under:

(2.) Learned Panel Counsel appearing for the 1st Respondent - Bank vehemently opposes the Petition contending that a Writ Court should not interfere in matters pertaining to loan recovery especially when the borrower is at default. He further contends that several SAs having been filed by the Petitioner, one of them namely, SA No.104/2017 pends on the file of DRT-I, Bangalore. Lastly, he added that if the Petitioner pays entire outstanding loan on or before 31/12/2023, he would advise his client to look into his grievance sympathetically.

(3.) Having heard the learned counsel for the parties and having perused the Petition papers, this Court is inclined to grant reprieve to the Petitioner inasmuch as, the offer made in the subject Memo is just & reasonable keeping in view the financial difficulty which the Petitioner has been facing. At paragraph No.11 of the Writ Petition, he has mentioned about various payments made during the period between 22/11/2019 and 12/4/2023 which in all quantifies to Rs.24,34,300.00 as against the outstanding amount of Rs.44,76,463.00. That apart, Petitioner has handed two Bank Drafts each for a sum of Rs.3,00,000.00 drawn in favour of the 1st Respondent - Bank and the same may be appropriated to the subject loan account. Therefore, the outstanding amount now comes down to approximately Rs.38,00,000.00 or so.