- (1.) The petitioner availed of loan facility from the respondent-corporation and there were defaults. A settlement was arrived at on 26.10.2012 (Annexure P-2) between the parties. In terms of the settlement, the claim against the petitioner was settled at Rs. 2,00,000/-, out of which a sum of Rs. 55,000/- was paid upfront while the balance amount of Rs. 1,45,000/- was to be paid in two installments i.e. Rs. 45,000/- on or before 15.12.2012 and Rs. 1,00,000/- on or before 31.01.2013 and failure to make the payment was to visit the consequence of settlement not being binding. There have been undisputedly delays in making the payment of two installments but they have since been paid. The installment of Rs. 45,000/- was paid on 04.02.2013 and remaining amount of Rs. 1, 00,000/- was paid in two parts i.e. Rs. 50,000/- was paid on 04.03.2013 and Rs. 50,000/- was paid on 29.04.2013.
(2.) In view of the fact that the petitioner has already paid the amount as per the settlement, albeit with some delay, we are of the view that the controversy can be put to rest by directing the petitioner to pay simple interest for the delayed payment @ 12% per annum. The interest be paid on or before 30.09.2013. The respondents to intimate the interest so calculated within one week to the petitioner with a copy of the same to the learned counsel for the petitioner. On payment being made as aforesaid, the documents of the mortgaged property would be released to the petitioner.
(3.) It is made clear that if the interest is not paid within the specified time, the settlement would be treated as null and void and the respondents would be free to recover the balance amount as originally claimed with adjustment of the amount paid. The petition accordingly disposed of in the aforesaid terms.;