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Corporation Bank V/S Ambica Timber Trade (P) Ltd. and Others.

Company & Directors' Information:- AMBICA CORPORATION LIMITED [Active] CIN = U74999MH1999PLC119790

Company & Directors' Information:- M B TIMBER PRIVATE LIMITED [Strike Off] CIN = U20101WB2001PTC093928

Company & Directors' Information:- I TRADE LIMITED [Active] CIN = U67120TN1999PLC043813

Company & Directors' Information:- TRADE INDIA LTD [Active] CIN = U51909PB1982PLC004822

Company & Directors' Information:- P. G. TIMBER PRIVATE LIMITED [Active] CIN = U20290WB2007PTC120882

Company & Directors' Information:- P K TIMBER PRIVATE LIMITED [Active] CIN = U74900DL2013PTC259917

Company & Directors' Information:- R P TRADE PRIVATE LIMITED [Active] CIN = U51909AS1999PTC005646

Company & Directors' Information:- A. G. TIMBER PRIVATE LIMITED [Strike Off] CIN = U20293WB2010PTC141851

Company & Directors' Information:- B G TIMBER PRIVATE LIMITED [Active] CIN = U20232WB2012PTC184693

Company & Directors' Information:- A R TRADE IN PRIVATE LIMITED [Active] CIN = U51909AS1999PTC005710

Company & Directors' Information:- S 3 M TRADE PRIVATE LIMITED [Active] CIN = U74900WB2013PTC193812

Company & Directors' Information:- V K TIMBER PVT LTD [Active] CIN = U20299HR1998PTC034035

Company & Directors' Information:- C TRADE (INDIA) PRIVATE LIMITED [Active] CIN = U74900KA2008PTC045372

Company & Directors' Information:- I-W TRADE PRIVATE LIMITED [Strike Off] CIN = U93030MH2012PTC233832

Company & Directors' Information:- U M TRADE PRIVATE LIMITED [Active] CIN = U67190MH2011PTC224523

Company & Directors' Information:- Y R S TIMBER PRIVATE LIMITED [Active] CIN = U36101TN2014PTC096195

    Misc. Appeal No. 560 of 2017

    Decided On, 23 January 2018

    At, Debt Recovery Appellate Tribunal At Delhi


    For Petitioner: Ekta Choudhary, Advocate And For Respondents: Sanjiv Bhandari and Amit Dhall, Advocates

Judgment Text

1. Counsel for the appellant has filed rejoinder today.

Today, learned Counsel for the respondents has submitted that since this Tribunal has stayed the operation of the order passed by the DRT in favour of the respondents, while entertaining the Bank's appeal against that order, now there is no protection available with the respondents to save their properties from being taken over/sold and the appellant now can continue to take measures under SARFAESI, it will be appropriate in the facts and circumstances of the case if the DRT is directed to hear the matter finally and dispose it of instead of hearing the present appeal. It is stated that the date fixed by the DRT is 2.2.2018 for final hearing and as far as the respondents are concerned, they will go to DRT prepared with their arguments and will not seek adjournment. Learned Counsel for the appellant Bank says that Bank is equally interested in expeditious disposal of the S.A. and so she has no objection if the DRT is directed to dispose of the S.A. as suggested by the learned Counsel for the respondents.

This appeal is accordingly disposed of with a direction to the learned DRT to hear the final arguments on 2.2.2018 and dispose of the S.A. within a week thereafter. However, if for any unavoidable reasons hearing does not take place on 2.2.2018 the next date should not be beyond a period of one week from that date and pronouncement of final order should be within a week thereafter.

2. The interim order passed by this Tribunal shall now continue till final disposal of the S.A.

3. At this stage, learned Counsel for the respondents has submitted that since this Tribunal is now being directed to dispose of their S.A. in a fixed period of time, the Bank should be restrained from proceeding ahead with its SARFAESI measures at least till 2.2.2018 though it should be till the pronouncement of the final order by the DRT in this case.

4. The Bank is claiming over Rs. 60 crores from the respondents.

5. Learned Counsel for the appellant has informed that already one property has been sold and orders under Section 14 of SARFAESI Act have been passed by the CMM on 15.1.2018. Without in any way expressing any opinion on the merits of the case of both parties, the respondents are directed to make the payment of Rs. 10 crores to the appellant Bank within a week and if this payment is made, the applicant Bank shall not take further coercive steps in respect of its secured assets till the disposal of the S.A. within the time being granted to DRT for pronouncement of final order. In case of non-disposal of the S.A., parties will

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be at liberty to approach this Tribunal for further appropriate directions. In case of default in payment, the interim order passed by this Tribunal on 3.1.2018 will come into operation again and Bank will be at liberty to proceed ahead with its ongoing measure under the provision of SARFAESI Act.