UNNI CHANDI Vs. KERALA FINANCIAL CORPORATION

JUDGEMENT

(1.) EXTS .P3 & P6 notices are under challenge in this writ petition. The petitioner had availed loan from the 1st respondent Corporation, which was repaid through 'One Time Settlement', as permitted by the Corporation. The impugned notices are issued demanding collection charges due with respect to revenue recovery steps initiated prior to settlement of the loan. Contention of the petitioner is that, no amount was recovered through the revenue recovery steps and the entire amount was paid directly to the 1st respondent Corporation. Hence it is contended that no collection charges is leviable. It is further contended that as per legal position remaining settled through decision of this court, no collection charge is leviable with respect to arrears due to the 1st respondent Corporation.

(2.) LEARNED Government Pleader appearing on behalf of respondents 3 & 4 points out that, the matter is now pending decision before the hon'ble Supreme Court in a batch of Special Leave Petitions filed by the Government.

(3.) THIS court is of the opinion that, interest of justice can be achieved by directing the petitioner to furnish security with respect to the demand for collection charges, pending decision of the matter by the hon'ble Supreme Court, and to direct the 1st respondent Corporation to release the mortgage and to return the title documents on the basis of such security.