w w w . L a w y e r S e r v i c e s . i n



M/s. Gopal Agro Engineering Works & Another v/s Andhra Bank & Others


Company & Directors' Information:- K. N. C. AGRO LIMITED [Active] CIN = U01500WB2005PLC102657

Company & Directors' Information:- F AND K AGRO PRIVATE LIMITED [Active] CIN = U01111PN1980PTC014563

Company & Directors' Information:- R T AGRO PRIVATE LIMITED [Active] CIN = U15400MH1988PTC122934

Company & Directors' Information:- N M AGRO PRIVATE LIMITED [Active] CIN = U15209DL2000PTC103461

Company & Directors' Information:- K F AGRO PRIVATE LIMITED [Active] CIN = U01132PB1998PTC021937

Company & Directors' Information:- T K M AGRO LIMITED [Active] CIN = U01119TZ2000PLC009159

Company & Directors' Information:- J K ENGINEERING WORKS LTD [Strike Off] CIN = U29221UP1964PLC003014

Company & Directors' Information:- K. N. ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U29299HR2011PTC044098

Company & Directors' Information:- M S AGRO PRIVATE LIMITED [Active] CIN = U01403WB2011PTC163653

Company & Directors' Information:- S K K AGRO PRIVATE LIMITED [Active] CIN = U01110DL2007PTC163157

Company & Directors' Information:- P N AGRO PVT LTD [Active] CIN = U01401WB1992PTC056261

Company & Directors' Information:- B R V AGRO PRIVATE LIMITED [Strike Off] CIN = U15139UP2007PTC034299

Company & Directors' Information:- A A AND A AGRO LIMITED [Converted to LLP] CIN = U01111DL1986PLC025101

Company & Directors' Information:- M J ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U27109DL1991PTC043687

Company & Directors' Information:- B. P AGRO INDIA PRIVATE LIMITED [Active] CIN = U15132DL2019PTC357421

Company & Directors' Information:- J N GOPAL AND CO PRIVATE LIMITED [Active] CIN = U74899DL1981PTC012476

Company & Directors' Information:- M Y AGRO PRIVATE LIMITED [Active] CIN = U51221DL2011PTC215043

Company & Directors' Information:- H R D AGRO PRIVATE LIMITED [Active] CIN = U15490PB2006PTC030412

Company & Directors' Information:- C F L AGRO PRIVATE LIMITED [Strike Off] CIN = U01409KA2001PTC028797

Company & Directors' Information:- L K AGRO PRIVATE LIMITED [Active] CIN = U15140MH1998PTC115185

Company & Directors' Information:- ANDHRA ENGINEERING CO PVT LTD [Active] CIN = U74999TG1929PTC000060

Company & Directors' Information:- R. N. ENGINEERING WORKS PVT LTD [Active] CIN = U27101WB1982PTC034586

Company & Directors' Information:- H D AGRO PRIVATE LIMITED [Strike Off] CIN = U01111MH1996PTC097451

Company & Directors' Information:- P C L AGRO PRIVATE LIMITED [Active] CIN = U74899DL1992PTC049537

Company & Directors' Information:- A S AGRO PRIVATE LIMITED [Active] CIN = U74899DL1989PTC040467

Company & Directors' Information:- S N N AGRO PRIVATE LIMITED [Active] CIN = U01114JH2016PTC008919

Company & Directors' Information:- R R S AGRO PRIVATE LIMITED [Strike Off] CIN = U15139DL2010PTC209756

Company & Directors' Information:- AGRO PRIVATE LIMITED [Strike Off] CIN = U51101KA1962PTC001475

Company & Directors' Information:- I. M. ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U74200WB2008PTC129701

Company & Directors' Information:- D. J. AGRO PRIVATE LIMITED [Strike Off] CIN = U01112DL1994PTC057414

Company & Directors' Information:- G A AGRO PRIVATE LIMITED [Active] CIN = U01229KL2002PTC015736

Company & Directors' Information:- P. G. P ENGINEERING WORKS LIMITED [Amalgamated] CIN = U99999MH1976PLC019400

Company & Directors' Information:- M S S P ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U29130TN2008PTC067764

Company & Directors' Information:- M K B AGRO PRIVATE LIMITED [Active] CIN = U01100MH1996PTC101802

Company & Directors' Information:- T D K AGRO PRIVATE LIMITED [Active] CIN = U29190BR1991PTC004486

Company & Directors' Information:- S G AGRO PRIVATE LIMITED [Active] CIN = U01122KA1995PTC017091

Company & Directors' Information:- AGRO INDIA PRIVATE LIMITED [Active] CIN = U01407AR2013PTC008381

Company & Directors' Information:- L N ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U29300MH1989PTC053803

Company & Directors' Information:- U & V AGRO PRIVATE LIMITED [Active] CIN = U01403TZ2015PTC021823

Company & Directors' Information:- B A B AGRO LTD [Strike Off] CIN = U24231MH1993PLC073114

Company & Directors' Information:- J S G ENGINEERING WORKS PRIVATE LIMITED [Strike Off] CIN = U45202HP2000PTC023398

Company & Directors' Information:- B A B AGRO LTD [Active] CIN = U24233WB1987PLC043179

Company & Directors' Information:- B C M AGRO PRIVATE LIMITED [Active] CIN = U01119WB1999PTC090308

Company & Directors' Information:- K. K. AGRO PVT. LTD. [Strike Off] CIN = U51420WB1987PTC042090

Company & Directors' Information:- H & W AGRO PRIVATE LIMITED [Strike Off] CIN = U01400MH2012PTC238144

Company & Directors' Information:- K D AGRO PRIVATE LIMITED [Converted to LLP] CIN = U15312DL2005PTC131996

Company & Directors' Information:- GOPAL ENGINEERING PRIVATE LIMITED [Strike Off] CIN = U25192UP1983PTC006019

Company & Directors' Information:- H R AGRO PRIVATE LIMITED [Active] CIN = U01119PB1995PTC016403

Company & Directors' Information:- C K N AGRO PRIVATE LIMITED [Active] CIN = U01300KL2020PTC064742

Company & Directors' Information:- V K ENGINEERING WORKS PVT LTD [Active] CIN = U99999MH1974PTC017405

Company & Directors' Information:- A Q AGRO PVT LTD [Under Process of Striking Off] CIN = U51209WB2006PTC109930

Company & Directors' Information:- S E AGRO PRIVATE LIMITED [Active] CIN = U52500AP2016PTC103446

Company & Directors' Information:- S U B AGRO PRIVATE LIMITED [Active] CIN = U24129PN2000PTC015404

Company & Directors' Information:- A B ENGINEERING WORKS PVT LTD [Active] CIN = U27109WB1987PTC041780

Company & Directors' Information:- M M ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U29951UP1995PTC018573

Company & Directors' Information:- S N P ENGINEERING WORKS PVT LTD [Strike Off] CIN = U28991MP1983PTC002124

Company & Directors' Information:- A S G AGRO LIMITED [Strike Off] CIN = U01119HR2004PLC035459

Company & Directors' Information:- T & T AGRO PRIVATE LIMITED [Active] CIN = U01132WB1999PTC090368

Company & Directors' Information:- B M ENGINEERING WORKS PVT LTD [Strike Off] CIN = U27109WB1974PTC029283

Company & Directors' Information:- C L AGRO PRIVATE LIMITED [Strike Off] CIN = U74120UP2012PTC051898

Company & Directors' Information:- P M S AGRO PVT LTD [Strike Off] CIN = U29211PB1994PTC014448

Company & Directors' Information:- N. S. ENGINEERING WORKS PRIVATE LIMITED [Strike Off] CIN = U29200WB2007PTC116554

Company & Directors' Information:- B R K AGRO PRIVATE LTD [Strike Off] CIN = U29211PB1994PTC014302

Company & Directors' Information:- J M ENGINEERING WORKS PVT LTD [Strike Off] CIN = U27109WB1981PTC034279

Company & Directors' Information:- R E I AGRO LTD. [Active] CIN = U01111WB1994PLC065082

Company & Directors' Information:- P & S AGRO INDIA LIMITED [Strike Off] CIN = U01403MH2011PLC214782

Company & Directors' Information:- D N D AGRO (INDIA) LIMITED [Active] CIN = U01403PN2011PLC139235

Company & Directors' Information:- L C A AGRO PRIVATE LIMITED [Strike Off] CIN = U01112UP2005PTC029657

Company & Directors' Information:- V M G AGRO INDIA LIMITED [Active] CIN = U01100MP2011PLC026434

Company & Directors' Information:- G D AGRO PRIVATE LIMITED [Strike Off] CIN = U24122UP1993PTC015164

Company & Directors' Information:- P B AGRO PRIVATE LIMITED [Amalgamated] CIN = U26960MH1990PTC057137

Company & Directors' Information:- R A P AGRO INDIA PVT LTD [Strike Off] CIN = U14200WB2006PTC107514

Company & Directors' Information:- INDIA ENGINEERING WORKS LTD [Strike Off] CIN = U51900WB1942PLC011320

Company & Directors' Information:- AGRO ENGINEERING (M P) PVT LTD [Active] CIN = U29211MP1969PTC001057

Company & Directors' Information:- R T C ENGINEERING WORKS PVT LTD [Active] CIN = U29294WB1964PTC026130

Company & Directors' Information:- GOPAL CO PVT LTD [Strike Off] CIN = U00513MP1948PTC000460

Company & Directors' Information:- R M V ENGINEERING WORKS PRIVATE LIMITED [Converted to LLP] CIN = U13203DL2007PTC160014

Company & Directors' Information:- G T AGRO INDIA PRIVATE LIMITED [Strike Off] CIN = U74899DL2005PTC142577

Company & Directors' Information:- F AND K AGRO PVT LTD [Strike Off] CIN = U29248PN1980PTC022759

Company & Directors' Information:- E M AGRO (INDIA) PRIVATE LIMITED [Strike Off] CIN = U02001UP1997PTC022261

Company & Directors' Information:- J S AGRO PRIVATE LIMITED [Strike Off] CIN = U01300PB1993PTC013943

Company & Directors' Information:- A N AGRO PRIVATE LIMITED [Strike Off] CIN = U01119DL1996PTC081855

Company & Directors' Information:- V R L AGRO PRIVATE LIMITED [Strike Off] CIN = U85110KA1999PTC024717

Company & Directors' Information:- M A ENGINEERING WORKS PVT LTD [Strike Off] CIN = U29222PB1982PTC005117

Company & Directors' Information:- M B ENGINEERING WORKS PVT LTD [Converted to LLP] CIN = U29230WB1959PTC024166

Company & Directors' Information:- P. S. R. AGRO PRIVATE LIMITED [Active] CIN = U24248UP1974PTC004017

Company & Directors' Information:- Z ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U29253MH2016PTC271563

Company & Directors' Information:- O N AGRO PRIVATE LIMITED [Active] CIN = U74899DL1988PTC031986

Company & Directors' Information:- H M ENGINEERING WORKS PVT LTD [Strike Off] CIN = U28991WB1965PTC026593

Company & Directors' Information:- K R S AGRO PRIVATE LIMITED [Strike Off] CIN = U01400PN2011PTC141711

Company & Directors' Information:- J K AGRO PRIVATE LIMITED [Strike Off] CIN = U74900PY2011PTC002548

Company & Directors' Information:- W B S AGRO PRIVATE LIMITED [Active] CIN = U01122PB2003PTC025879

Company & Directors' Information:- P M ENGINEERING WORKS PRIVATE LIMITED [Strike Off] CIN = U29100PB2014PTC038453

Company & Directors' Information:- S. K. ENGINEERING AND WORKS PRIVATE LIMITED [Strike Off] CIN = U29253MH2013PTC247348

Company & Directors' Information:- G T M AGRO PRIVATE LIMITED [Strike Off] CIN = U01100MH2005PTC150816

Company & Directors' Information:- P. B. ENGINEERING WORKS PRIVATE LIMITED [Active] CIN = U74900MH2012PTC229787

Company & Directors' Information:- M K D ENGINEERING WORKS PVT LTD [Strike Off] CIN = U27209WB1976PTC030736

Company & Directors' Information:- Y K AGRO PRIVATE LIMITED [Converted to LLP and Dissolved] CIN = U74999DL2013PTC250398

Company & Directors' Information:- N P M AGRO PRIVATE LIMITED [Strike Off] CIN = U15494DL2011PTC214942

Company & Directors' Information:- B L B AGRO PRIVATE LIMITED [Strike Off] CIN = U51200DL2012PTC244511

Company & Directors' Information:- D A AGRO PRIVATE LIMITED [Active] CIN = U74900DL2015PTC288168

Company & Directors' Information:- D. B. AGRO PRIVATE LIMITED [Active] CIN = U01100MP2010PTC025035

Company & Directors' Information:- V V I AGRO PRIVATE LIMITED [Active] CIN = U01100DL2021PTC381324

Company & Directors' Information:- U P ENGINEERING WORKS PVT LTD [Strike Off] CIN = U29248UP1972PTC003562

Company & Directors' Information:- B M S ENGINEERING WORKS PVT LTD [Strike Off] CIN = U31503WB1955PTC022834

Company & Directors' Information:- D G R ENGINEERING WORKS PVT LTD [Strike Off] CIN = U29230WB1962PTC025563

Company & Directors' Information:- B P ENGINEERING WORKS PRIVATE LIMITED [Strike Off] CIN = U99999MH1972PLC015642

    CWP No. 10093 of 2020

    Decided On, 30 October 2020

    At, High Court of Punjab and Haryana

    By, THE HONOURABLE MRS. JUSTICE DAYA CHAUDHARY & THE HONOURABLE MRS. JUSTICE MEENAKSHI I. MEHTA

    For the Appellants: Rohit Suri, Advocate. For the Respondents: Shailender Kashyap, Kushagra Mahajan, Advocates.



Judgment Text

Daya Chaudhary, J.

1. Petitioner, namely, M/s Gopal Agro Engg. Works through its proprietor Mr. Chander Pal has approached this Court by way of filing the present petition under Articles 226/227 of the Constitution of India for issuance of a direction to respondents to apply the guidelines on restructuring of the account in terms with the provisions of The Micro, Small and Medium Enterprises Development Act, 2006 (hereinafter called as 'the MS MED Act) and the RBI guidelines and notification dated 17.03.2016 'Framework for Revival and Rehabilitation of MSME'; Master Directions for MSME dated 24.07.2017; notification dated 07.02.2018 'Relief for MSME borrowers registered under the GST'; 'Restructuring of Advances' dated 01.01.2019 and the directions issued by the Government of India in view of COVID-19 as per 'ATMANIRBHAR BHARAT ABHIYAN1 Part-1. A further prayer has also been made for issuance of direction to stay and withdraw the process initiated by the respondent-bank to classify the account as Non-Performing Asset (NPA) and the consequential process initiated under the SARFAESI Act, 2002 by quashing the demand notice dated 05.11.2019 and subsequent proceedings initiated thereafter.

2. As per submissions made by learned counsel for the petitioners, the petitioner-unit is entitled for the benefits available under the MSMED Act. The firm obtained a credit facility of Rs.45 lacs, which was due for renewal on 01.09.2017 at the interest rate of 10.75% against the mortgaged property. Learned counsel for the petitioners further submits that the firm has been supplying the materials as per orders of supply but due to default on the part of petitioners, the demand notice claiming an amount of Rs.46,78,338.50/- was issued by the bank. Learned counsel also submits that the matter be referred to the Committee, which is to be constituted under the MSMED Act and the Framework for Revival and Rehabilitation of Micro, Small and Medium Enterprises and case of petitioners be considered, for renewal of the firm. Learned counsel also submits that a representation dated 07.01.2020 (Annexure P-6) was submitted in this regard, which has been rejected and the property worth Rs.95 lacs has been ordered for auction on throwaway price. It is also the argument of learned counsel for the petitioners that Government of India has issued various directions during period of COVID-19 to provide relief/concession to a number of small business concerns but no benefit has been given to the petitioners in spite of filing representation. Learned counsel also submits that the respondent-bank was under an obligation to refer the petitioners' loan account to the Committee as per the RBI guidelines as there was no power with the bank to declare the loan account as Non-Performing Asset. Learned counsel also submits that the petitioner has been operating the account on the basis of sanction limit as granted by the Bank. The account was neither in default nor overdue as on 29.10.2019 but still interest has been over charged, which is contrary to MCLR rate of interest. Learned counsel also submits that the interest has been applied excessively but no restructuring of the account has been carried out in terms of MSMED Act and the bank has initiated the process by issuing demand notice. Learned counsel also submits that the action of respondent-bank is contrary to provisions of Section 13(3A) of the Act. No reasoned reply to the objections filed by the petitioners has been given. Even without serving the petitioners, the bank directly has carried out the publication of sale notice and date of auction of the property has been ordered. Learned counsel also submits that not only the petitioners has made representation dated 10.07.2020 but has also deposited an amount of Rs.5 lacs only on the assurance given by the respondent-bank to regularize its account and give benefit as per Government of India policies arising subsequent to COVID-19 as available to other similarly situated firms. At the end, learned counsel for the petitioners submits that the petitioners would be satisfied in case their claim is considered by respondent-bank in view of policies of Government of India 'ATMANIRBHAR BHARAT ABHIYAN1 Part-1 and the guidelines issued from time to time during the period of COVID-19 to other similarly situated business concerns.

3. Learned counsel for respondents No.2 and 3 has disputed the arguments raised by learned counsel for the petitioners. An objection has also been raised by learned counsel for respondents No.2 and 3 that the petitioners have remedy to file petition before the Debt Recovery Tribunal in case, they are aggrieved by the notice/order passed by respondents. Learned counsel for respondents No.2 and 3 further submits that the petitioner-firm has defaulted in making payment as per schedule and has also availed/secured over draft limit of Rs.45 lacs. As per guidelines issued by the RBI, the account of the petitioners has been declared NPA as on 29.10.2019. learned counsel for respondents No.2 and 3 also submits that the claim of the petitioners can be considered afresh in case, a detailed representation is made.

4. Facts of the case are not disputed.

5. By considering the submissions made by learned counsel for the parties and also the fact that the petitioners' counsel has restricted his prayer to give liberty to the petitioners to file representation afresh with the undertaking that he will deposit some reasonable amount as they have already deposited an amount of Rs.5 lacs, the present petition is disposed of with the liberty to the petitioners to move detailed representation within a period of two

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weeks from the date of receipt of certified copy of this order. In case, such representation is made within the stipulated period, respondents No.2 and 3 are directed to consider the same within a period of two months thereafter in accordance with RBI guidelines and notification dated 17.03.2016 (Framework for Revival and Rehabilitation of MSME); notification dated 07.02.2018 as the same benefits have been given to other similarly situated firms/concerns during period of COVID-19. It is also ordered that in case, the presence of the petitioners is required, they be given opportunity to appear personally before taking any action.
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