CHOLAMANDALAM INVESTMENT & FINANCE COMPANY LTD. Vs. NAVAYUG INDIA FACILITY MANAGEMENT PRIVATE LIMITED

JUDGEMENT

(1.) The respondents in W.P.(C)No.44529 of 2025 have filed this writ appeal, invoking the provisions under Sec. 5(i) of the Kerala High Court Act, 1958, challenging the judgment dtd. 15/1/2026 of the learned Single Judge in that writ petition, which was one filed by the respondents herein-petitioners, invoking the writ jurisdiction of this Court under Article 226 of the Constitution of India, seeking a writ of mandamus commanding the respondents, namely, Cholamandalam Investment and Finance Company Ltd., which is a Non-Banking Financial Company (NBFC), and its Authorised Officer to regularise the loan availed by the 1st petitioner against Property Account No.HE1OCI00000036216 and the business loan availed by the 2nd petitioner with Loan Account No.BLTLCOCH000005027799, from the Cochin Branch of the said NBFC, and to permit the petitioners to pay the overdue amount in the said loan accounts, in installments, as may be granted by this Court; and a writ of mandamus commanding the respondents not to proceed against the mortgaged property under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act).

(2.) Ext.P1 notice dtd. 6/8/2025 issued by the 2nd respondent Authorised Officer of the 1st respondent NBFC is in respect of the loan availed by the 1st petitioner company against Property Account No.HE1OCI00000036216, for an amount of Rs.1,69,00,000.00, in which the overdue as on 31/7/2025 was Rs.4,75,488.00 excluding late payment charges and other charges. In Ext.P2 notice dtd. 22/5/2024, which is in respect of the business loan availed by the 2nd petitioner with Loan Account No.BLTLCOCH000005027799, for an amount of Rs.20,00,000.00, the overdue as on 22/5/2024 was Rs.51,882.00. The accounts were classified as a non-performing asset (NPA) on 6/8/2025 and the 2nd respondent Authorised Officer issued Ext.P3 notice dtd. 7/10/2025, under Sec. 13(2) of the SARFAESI Act, in respect of the loan availed by the 1st petitioner company against Property Account No.HE1OCI00000036216. In the writ petition, it is stated that, due to severe financial hardship, the petitioner could not remit the monthly installments in time.

(3.) On 11/12/2025, when W.P.(C)No.44529 of 2025 came up for admission, the learned Single Judge granted an interim order, which reads thus;