SARASWATHY AMMA, W/O SUNDERASAN PILLAI AND ORS Vs. SECRETARY,; VELIMON SERVICE CO-OPERATIVE BANK AND JOINT REGISTRAR OF CO-OPERATIVE

JUDGEMENT

(1.) When the writ appeal came up for admission, we granted stay for two weeks and as per our order, notice was served on Respondents. There is No. appearance for the Respondents. However, we do not want to keep this matter pending because Appellants want only three months time to sell part of their property and settle the liability. In view of the undertaking given by the counsel for the Appellants, we direct the Respondents to withhold all further proceedings for recovery of the award amount due from the Appellants on condition that entire payment will be made on or before 1st November, 2011. Further, on production of copy of this judgment before the first Respondent, the sale proceedings will be kept in abeyance till then. However, if the Appellants fail to settle the liability as directed above, there will be a direction to the Appellants to vacate from the mortgaged property and handover possession to the first Respondent for immediate sale of the same in public auction. On failure of the Appellants to comply with the above direction, the Respondents can approach this Court for initiating contempt against the Appellants for violation of undertaking. The Appellants are also given freedom to negotiate for sale of the mortgaged property and enter into agreement for sale. However, sale deed will be executed only on payment of the full arrears due to the bank, either by the Appellants or under agreement by the purchaser. It is also up to the Appellants, instead of waiting for three months to raise funds to settle the three loans together but to settle loans one after another so that released property can be sold without any concurrence from the bank.