Civil Misc. Writ Petition No. 15167 of 2016. Case: Lakshya Concosts Private Limited and Ors. Vs Bank of Baroda and Ors.. High Court of Allahabad (India)
| Case Number | Civil Misc. Writ Petition No. 15167 of 2016 |
| Counsel | For Appellant: Sudhanshu Pandey, Learned Counsel and For Respondents: Sandeep Singh, Adv. |
| Judges | Krishna Murari and Prashant Kumar, JJ. |
| Issue | Code of Criminal Procedure, 1973 (CrPC) - Sections 20, 3; Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 - Sections 13, 13(2), 13(4), 14, 14(1), 14(1)(a)(b), 14(1A) |
| Judgement Date | February 08, 2017 |
| Court | High Court of Allahabad (India) |
Judgment:
Krishna Murari, J.
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Heard Shri Sudhanshu Pandey, learned counsel for the petitioners, Shri Sandeep Singh for respondent-Bank and learned Standing Counsel for the State respondents.
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Facts relevant for the purpose of the case as unfolded in the pleadings are as under.
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Petitioner-company obtained various credit facilities from the respondent-Bank and petitioner No. 2 is the guarantor. There was some default in repayment of the loan, on account of which, respondent-Bank issued notice dated 04.10.2014 under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter referred to as the 'Act') demanding a sum of Rs. 5,64,94,962.17/- along with other charges. Thereafter, respondent-Bank initiated proceedings under Section 13(4) of the Act for taking over possession of the secured assets by issuing notice dated 30.12.2014. Petitioner-company challenged the same by filing SARFAESI application before the Debt Recovery Tribunal, which was registered as Case No. 221 of 2015. Thereafter, petitioner also filed writ petition before the Lucknow Bench of this Court being Misc. Single No. 3510 of 2015 seeking a mandamus directing the Debt Recovery Tribunal, Lucknow to dispose of the interim application of the petitioner filed in S.A. No. 221 of 2015. A further relief was also claimed to command the Collector/Additional District Magistrate (Finance), Aligarh and respondent-Bank not to take proceeding in Misc. Case No. 182 of 2015 filed under Section 14 of the Act. The said writ petition was disposed of by making following observation.
"This writ petition has been for a mandamus, directing the Debt Recovery Tribunal, Lucknow (respondent-1) to dispose of the interim relief application of the petitioners filed in S.A. No. 221 of 2015 and further relief has been sought for issue of mandamus directing the Collector/Additional District Magistrate (Finance), Aligarh and Bank of Baroda, Branch Office Sashni Gate, District Aligarh, not to take proceeding in Misc. Case No. 182 of 2015, filed u/s. 14 of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter referred to as the "Act").
It is alleged that the petitioner has taken loan from Bank of Baroda and due to committing default in payment of interest on the above loan for the quarter ended 30.6.2014 and 30.9.2014 and also default in payment of installment due on 30.6.2014, the bank has initiated proceeding u/s. 13 of the Act. Notice u/s. 13(2) of the Act was given to the petitioners on 4.10.2014 and thereafter, the order u/s. 13(4) has been passed for taking possession on 13.12.2014, but the petitioner has not handed over possession, as such, proceeding has been initiated before the District Magistrate for providing police help for taking possession over the secured assets u/s. 14 of the Act. The petitioner has challenged the notice issued u/s. 13(4) of the Act before the Debt Recovery Tribunal, Lucknow and the matter is pending before it, in which the petitioner has also filed an application for interim relief (annexed as annexure 4 to the writ petition) and it is stated that 14.7.2015 is the date fixed before the Debt Recovery Tribunal, Lucknow. However, before the Collector/Additional District Magistrate (Finance), Aligarh, the proceeding initiated for providing police help is going on and the matter is fixed today, i.e. 26.6.2015.
At the very outset of the arguments, the counsel for the petitioner expressed his willingness to deposit Rs. 50 lakhs within a week. Since the matter is pending before the Debt Recovery Tribunal, Lucknow, which is a statutory authority and seasoned with the case, as such, it will be appropriate that all the controversies raised before this Court, may be raised before the Debt Recovery Tribunal, Lucknow, who shall decide it, considering entire facts on record.
However, as 14.7.2015 is the date fixed and the petitioner is willing to deposit a substantial amount, as such, upto 14.7.2015, Bank of Baroda (respondent-3) shall not take forceful possession over the property in dispute, provided the petitioner deposits Rs. 50 lakhs within one week from today with respondent-3.
It is made clear that the proceeding before the District Magistrate has not been stayed by this Court.
With the aforesaid observations, the writ petition is disposed of."
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There is nothing on record to indicate that in compliance of the order dated 26.06.2015, petitioner deposited any amount with the Bank nor there is any disclosure about the outcome...
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