Kerala High Court: N. Nagaresh, J. disposed of a writ petition seeking to recover the amount due to be received from the properties auctioned.
In the present case, the petitioners 1 and 2 were subscribers to a Chitty and in order to invest in their business, they participated in various auctions. Properties were purchased in installments, however, repayment of the installments defaulted. The 2nd Respondent initiated action against the petitioners under the Revenue Recovery Act.
The counsel representing the petitioners, Sakir K.H had submitted that the amount sought to be recovered from the properties would fetch more than the amount due to the 1st respondent and if auction of the entire properties are conducted in pursuance of revenue recovery proceedings, it would put the petitioners in a position of irrecoverable loss and injury. The counsel expressed the petitioner’s willingness to discharge their liabilities provided the installment facilities are given to them for remitting their dues.
The standing counsel for the respondents, Anil Kumar submitted the amount that would cover the arrears.
High Court upon perusal of the facts and circumstances disposed the writ petition and permitted to remit the arrears towards the chitties and the loan in twenty equal monthly installments. The Court also directed that upon two payment defaults the respondents will be at liberty to proceed against the petitioners.[Prakasan C.K v. Kerala State Financial Enterprises Ltd., 2019 SCC OnLine Ker 2931, decided on 17-09-2019]