Without your consent in writing, no Adalat can decide any thing (not Courts). You can submit your repayment capacity, period and Bank may accept or suggest their figure, depending on both the versions, The president may convince you both for a figure which he may suggest or you may bargain depending on circumstances. But without your written consent nothing can happen, and attending LA shows your sincerity in making a repayment. If Bank approaches Court it takes years and definitely the decision may be in their favour.
So attend the same to establish your sincerity and make use of a good opportunity.