KUTTAPPAN vs DISTRICT COLLECTOR & ORS.

Petitioner stood as a guarantor for availing an educational loan to his son. Repayment was defaulted, consequent to which recovery action was

initiated against the petitioner and his son. At that point of time, petitioner''s son approached this Court and secured 12 instalments for repayment

of the outstanding amount, however, no amounts were paid by the petitioner''s son. There upon, action was initiated against the property as per the

provisions of the KRR Act under Section 34 , evident from Ext.P1. It is thus challenging Ext.P1 and seeking other consequential reliefs, this writ

petition is filed.

I have heard learned counsel for the petitioner, learned senior Government Pleader, learned counsel for the 4th respondent Bank and perused

the pleadings and documents on record.

There is no much dispute with respect to loan availed by the petitioner''s son and the guarantee extended by the petitioner. In my considered

opinion, when default is made for making the payment, the Bank is at liberty to proceed in accordance with the provisions of law, and therefore,

action initiated as per Ext.P1 cannot be said to be bad under any circumstances.

However, learned counsel for the petitioner at that point of time submitted that, if instalments are provided petitioner will be able to make the

payment. In my considered opinion since earlier the son has approached this Court, secured an order and failed to pay the amount in terms of the

directions issued by this Court, the Court cannot be made a mockery for protracting the proceedings initiated by the Bank, therefore, petitioner will

have to show his bonafides.

There will be a direction to the petitioner to pay an amount of Rs.1,00,000/- within three weeks from the date of receipt of a copy of this

judgment. If any such amount is made as directed, the petitioner is permitted to pay the rest of the amounts in 8 equated monthly instalments

starting from 15.3.2018 on wards.

Learned counsel for the Bank has pointed out that as on January, 2018 an amount of Rs.3,43,503/- is remaining due. This is also recorded.

I make it clear that, if the petitioners fails to comply with any of the directives, the Bank will be at liberty to proceed against the property of the

guarantor and to recover the amount in lump. Writ petition is disposed of accordingly.