BINDHU RAJESH Vs. REPCO HOME FINANCE LIMITED

JUDGEMENT

(1.) The facts projected in this Writ Petition (Civil) are as follows: The petitioner is a guarantor of a housing loan in which a sum of Rupees Twenty Lakhs was availed as loan by a close relative of the petitioner. An extent of 2.29 Ares (5.658 cents) and an incomplete residential building thereon was mortgaged by the petitioner in the abovesaid loan transaction. The borrower of the loan was not able to repay the loan promptly due to his financial difficulties and the respondent financial institution concerned (M/s.Repco Home Finance Ltd.) has issued notice under Sec.13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act , 2002 (The "SARFAESI" Act for short) to the petitioner and others. The petitioner has approached the respondent with a proposal of rescheduling of loan and willingness to clear the dues by installments, but there was no positive response from the respondent. Thereafter the respondent has filed M.C. No. 378/2019 before the Chief Judicial Magistrate Court, Alappuzha, and has secured an order to take physical possession of the property and residential building. Further that, the Advocate Commissioner has also issued notice dated 2.11.2019 initiating the steps for taking possession. It is in the light of these averments and contentions, that the petitioner has filed the instant Writ Petition (Civil) on 2.12.2019 with the following prayers:

(2.) Heard Sri.Denny Joseph, learned counsel appearing for the petitioner and Sri.P.Paulochan Antony, learned counsel appearing for the respondent financial institution.

(3.) When the matter was taken up for consideration on 3.12.2019, this Court had issued notice before admission to the respondent and has noted the undertaking made on behalf of the petitioner through her counsel that the petitioner would deposit Rupees Five Lakhs within 4 weeks from 3.12.2019. Thereupon this Court has passed an interim order dated 3.12.2019 in this Writ Petition (Civil) recording the abovesaid undertaking of the petitioner, and this Court had further ordered that subject to the petitioner depositing Rupees Five Lakhs on or before 31.12.2019, the parties are directed to maintain status quo as on that date for 5 weeks therefrom. Further it has been ordered by this Court that, in case the petitioner fails to deposit the said amount of Rupees Five Lakhs within prescribed time limit, then the respondent is free to proceed further in accordance with law. The said interim order dated 3.12.2019 rendered by this Court in this Writ Petition (Civil) reads as follows: