Disposed

Aman v. Canara Bank and Another

Allahabad HC12 Dec 2024WRIC/41455/2024

Case brief

AI extract

What is this about?

High Court granted interim relief in a writ petition filed to restrain respondent bank from taking coercive steps under SARFAESI Act. Court permitted structured repayment plan with reduced initial deposit to avert auction proceedings pending compliance.

What did the court decide?

Bank directed not to proceed with auction if 25% deposited by Dec 16, 2024; balance payable in installments; arrangement dischargeable on default.

Aman vs Canara Bank and Another — Banking and Recovery | Allahabad HC (2024)

¶1

Neutral Citation No. - 2024:AHC:194863-DB

¶2

Court No. - 29

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Case :- WRIT - C No. - 41455 of 2024

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Petitioner :- Aman Respondent :- Canara Bank And Another Counsel for Petitioner :- Mohd. Jamshed Khan Counsel for Respondent :- Krishna Mohan Asthana

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Hon'ble Vivek Kumar Birla,J. Hon'ble Ms. Nand Prabha Shukla,J.

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Heard Sri M.J. Khan, learned counsel for the petitioner, Sri Archit Sehgal, Advocate, holding brief of Sri K.M. Asthana, learned counsel for the respondents-Bank.

¶7

Present petition has been filed seeking direction to respondent no.2 not to take any coercive steps against the petitioner regarding taking possession over the property of the petitioner which is mortgaged before respondent no.3 pursuant to possession notice dated 11.11.2024 under section 13 (4) of SARFAESI Act, 2002.

¶8

On instructions, learned counsel for the bank states that the outstanding amount due against the petitioner is 8,17,802.59/- and in case at least 50 per cent of the total amount due is deposited before the date fixed for auction i.e. 16.12.2024, the bank shall not proceed with the auction proceedings and the balance may be paid through easy installments.

¶9

Learned counsel for the petitioner submits that due to financial crisis, it would not be possible for the petitioner to deposit 50 per cent of the total amount before the date of auction and some direction may be given to him in this regard.

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In view of the above submission, in the interest of justice, it is provided that in case the petitioner deposits 25 per cent of the total amount due by 12 0' clock of 16th December, 2024, the bank shall not proceed with the auction of the property belonging to the petitioner.

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It is further provided that 25 per cent of the balance amount shall be paid by the petitioner within 15 days thereafter and the remaining 50 per cent shall be paid in two equal bimonthly installments.

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Accordingly and with the consent of learned counsel for the parties, the writ petition stands disposed of with the above directions.

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In case of default in complying with the conditions stipulated above, the instant arrangement will stand discharged automatically and it shall become open to the respondent-bank to proceed further in the matter in accordance with law.

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Order Date :- 12.12.2024 Madhurima

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Digitally signed by :- MADHURIMA GARG High Court of Judicature at Allahabad

Aman v. Canara Bank and Another

Case brief

What is this about?

What did the court decide?

Aman v. Canara Bank and Another

Case brief

What is this about?

What did the court decide?

What the court decided

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