THIRUVANANTHAPURAM: In a decisive statutory intervention to ensure the unhindered success of the state's ongoing One-Time Settlement (OTS) drive, Kerala's Co-operation and Excise Minister, M. Liju, has issued a strict executive order immediately suspending all pending property attachments and asset recovery actions. The blanket moratorium applies directly to ongoing property seizures, personal bank account freezes, and scheduled public auction proceedings originating from cooperative arbitration cases across every district. The directive is aimed at giving thousands of distressed rural families a vital breathing window to clear their dues without facing immediate displacement or losing their livelihoods.
Under the explicit ministerial mandate dispatched to all regional offices, every single primary cooperative credit society operating within the state must instantly pause aggressive enforcement actions for the exact 100-day duration of the 'Ashwas-2026' settlement window. The primary objective of the Kerala Department of Co-operation is to temporarily eliminate the immediate threat of asset liquidation. By lifting this overwhelming legal pressure, the state aims to provide a stress-free environment that encourages long-term defaulting borrowers to voluntarily step forward, meet with banking representatives, and settle their outstanding dues through mutual, discounted agreements.
Senior departmental heads have strongly warned that any breach of this moratorium by overzealous bank management teams or local recovery officers will invite swift, severe disciplinary action. The administration's priority is to ensure that no residential or agricultural properties are auctioned off while families are actively mobilizing funds, liquidating other minor assets, or coordinating with relatives to utilize the substantial interest waivers offered by the OTS window. However, authorities clarified that standard legal recovery protocols under the Kerala Co-operative Societies Act will automatically resume in full force once the strict August 31, 2026, deadline expires.