M/S. Care Systems v. The Manager

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 19.04.2023

CORAM:

THE HONOURABLE MR.JUSTICE R.SUBRAMANIAN and THE HONOURABLE MRS.JUSTICE L.VICTORIA GOWRI and W.M.P.(MD) No.8156 & 8157 of 2023 1.M/s.Care Systems rep.by its sole proprietor K.Mathi O/No.25-B, N.No.146 Kauvery Residency 3rd Floor, Trunk Road Thiruvanaikovil Trichy-5 Trichy District 2.Mathi.K.

3.S.Kumarasamy 4.K.Shanmugam ... Petitioners -vs1.The Manager Karur Vysya Bank Srirangam Branch Srirangam, Trichy-6

2.The Authorised Officer Karur Vysya Bank Trichy Divisional Office KVB Towers, Second Floor Near Income Tax Office Alexandria Road Cantonment, Trichy-1 Trichy District ... Respondents PRAYER: Petition filed under Article 226 of the Constitution of India, to issue a writ of certiorari calling for the records relating to proceedings made in the possession notice (for immovable property) issued under Rule 8(1) of Security Interest (Enforcement) Rules, 2002, dated 26.12.2022, on the file of the second respondent herein, quash the same.

For Petitioner :

Mr.R.Sundar For Respondents :

Mr.R.Pandivel Standing Counsel

O R D E R

[Order of the Court was made by R.SUBRAMANIAN, J.] In view of the fact that the Debts Recovery Tribunal, Madurai, is not manned, we are entertaining this writ petition.

2. Mr.R.Pandivel, learned Standing Counsel, takes notice for the respondent - Bank.

3. With the consent of both sides, this writ petition is taken up for final hearing at the admission stage itself.

4. The possession notice, dated 26.12.2022, issued by the respondent - Bank, under Section 8(1) of the Security Interest (Enforcement) Rules, 2002, is under challenge in this writ petition.

5. Learned counsel for the petitioners would submit that the attempted auction failed and the petitioners are ready to liquidate the debt, if sometime is granted to them.

6. Learned Standing Counsel appearing for the respondent - Bank would submit that the outstanding as of today is Rs.24,25,500/- (Rupees twenty four lakhs twenty five thousand and five hundred only).

7. Considering the above representation of the learned counsel for the petitioners as well as the fact that the secured asset is a residential house, an opportunity should be given to the petitioners to liquidate the debt. Hence, this writ petition is disposed of with the following directions:

(i) The respondent - Bank shall not proceed to take possession of the secured asset, if the petitioners pay a sum of Rs.6,25,500/- (Rupees six lakhs twenty five thousand and five hundred only) to the respondent - Bank, on or before 19.05.2023.

(ii) The balance amount shall be paid by the petitioners in four equated monthly installments commencing from June, 2023. The monthly instalments shall be paid on or before 19th of every succeeding month.

(iii) The interest payable for the interregnum period and the cost for publication shall be paid by the petitioners along with the last installment.

(iv) In the event there is a default in payment of the amounts as directed above, the respondent - Bank shall proceed with the auction for recovery of the amount due. No costs. Consequently, connected miscellaneous petitions are closed. [R.S.M., J.] [L.V.G., J.] 19.04.2023 (2/2) NCC :

Yes / No Index :

Yes / No Internet :

Yes / No krk

R.SUBRAMANIAN , J.

and L.VICTORIA GOWRI , J.

krk and W.M.P.(MD) No.8156 & 8157 of 2023 19.04.2023 (2/2)