Fakire Vs District Magistrate/Collector, Lko. and 3 Others — Allahabad HC (2024) — LawSathi Research

Fakire Vs District Magistrate/Collector, Lko. and 3 Others — Allahabad HC (2024) — LawSathi Research

What the court decided

AI extract

Outcome

Writ petition disposed of with directions: petitioner to deposit Rs.20,000/- with respondent Bank within four weeks (whereupon Bank to furnish statement of account); balance with up-to-date interest payable in 8 equal quarterly installments, first on or before 01.05.2024; no recovery charges to be realised; subject to such payment, no coercive action in pursuance of the impugned citation/auction notice; on default, recovery proceedings stand revived and Bank free to proceed in accordance with law including auction.

Issue for consideration

Whether the auction dated 08.01.2024 issued by opposite party no.4 (Bank) should be quashed.

Court's answer

Petitioner directed to deposit a sum of Rs.20,000/- with the respondent Bank within four weeks; on deposit of the said amount, the Bank will provide statement of account to the petitioner.

Ratio / Principle

Balance amount along with up-to-date interest to be paid by the petitioner in 8 equal quarterly installments, the first installment on or before 01.05.2024.

Key takeaways

No recovery charges shall be realised from the petitioner.ratio¶14
Subject to payment as directed, no coercive action shall be taken against the petitioner in pursuance of the impugned citation/auction notice.ratio¶15
In the event of default in payment as directed, the recovery proceedings shall stand revived and the Bank shall be at liberty to proceed against the petitioner in accordance with law, including proceeding with the auction proceedings.ratio

Detailed headnote1 paragraphs

Allahabad High Court, Lucknow Bench (Abdul Moin, J.), Writ - C No. 127 of 2024, decided 9.1.2024 (Neutral Citation 2024:AHC-LKO:2119). Petitioner Fakire challenged the auction dated 08.01.2024 issued by respondent no.4-Bank; the Bank's counsel stated the scheduled auction had not been held and that Rs 5,70,596/- was outstanding as on 30.09.2023. The petitioner offered to deposit the entire outstanding dues with up-to-date interest if given reasonable time, and the Bank stated it had no objection if the entire amount with up-to-date interest was deposited within the time fixed by the Court. The writ petition was disposed of with directions: deposit of Rs.20,000/- within four weeks (on which the Bank would provide a statement of account); payment of the balance with up-to-date interest in 8 equal quarterly installments, the first on or before 01.05.2024; no recovery charges to be realised; and, subject to such payment, no coercive action in pursuance of the impugned citation/auction notice, with recovery proceedings standing revived and the Bank at liberty to proceed in accordance with law, including the auction, in the event of default.

Neutral Citation No. - 2024:AHC-LKO:2119

Court No. - 5

Case :- WRIT - C No. - 127 of 2024 Petitioner :- Fakire Respondent :- District Magistrate/Collector, Lko. And 3 Others Counsel for Petitioner :- Ashish Kumar Dixit,Rajiv Kumar Bajpai,Suparna Mishra Counsel for Respondent :- C.S.C.,Vinod Kumar Singh

Hon'ble Abdul Moin,J.

Heard learned counsel for the petitioner, learned Standing Counsel appearing for respondents No.1 to 3 and Sri Vinod Kumar Singh, learned counsel appearing for respondent no.4Bank.

By this writ petition, the petitioner has prayed for quashing the auction dated 08.01.2024 issued by opposite party no.4, a copy of which is Annexure No.3 to the petition.

The property which has been put to auction which was scheduled on 08.01.2024, as per Sri Vinod Kumar Singh, learned counsel appearing for respondent no.4-Bank, has not been held.

Learned counsel for the petitioner submits that petitioner is ready to deposit entire outstanding dues along with up to date interest provided he is given reasonable time.

Sri Vinod Kumar Singh, learned counsel appearing for respondent Bank submits that an amount of Rs 5,70,596/- is outstanding due against the petitioner as on 30.09.2023/-.

Learned counsel for the Bank submits that the Bank is interested in realisation of the amount and in case petitioner deposits the entire amount along with up to date interest within the time fixed by this Court, the Bank has no objection.

Considering the aforesaid, the writ petition is disposed of with the following directions:-

(i) The petitioner shall deposit a sum of Rs.20,000/- with the respondent Bank within four weeks from today. On deposit of the said amount, the bank will provide statement of account to the petitioner. Thereafter, the balance amount along with up to date interest shall be paid by the petitioner in 8 equal quarterly installments. The first installment shall be paid on or before 01.05.2024.

(ii) The petitioner shall deposit the amount with respondent-

Bank and no recovery charges shall be realised from the petitioner.

(iii) Subject to payment as directed above, no coercive action shall be taken against the petitioner in pursuance of the impugned citation/auction notice. In the event, the petitioner commits any default in payment of the amount as directed above, the recovery proceedings shall stand revived and the Bank shall be at liberty to proceed against the petitioner in accordance with law including proceeding with the auction proceedings.

Order Date :- 9.1.2024 J.K. Dinkar

Digitally signed by :- JESHU KUMAR DINKAR High Court of Judicature at Allahabad, Lucknow Bench