Allowed

Kotak Mahindra Bank Limited v. Magma Fincorp Limited and 4 Ors.

Bombay HC2 Jul 2024IA/1859/2024

Case brief

AI extract

What is this about?

The High Court of Bombay allowed I.A. 1859/2024 filed by Kotak Mahindra Bank (assignee) in Execution Application No. 1167/2019. The court amended the cause title to reflect the assignment of debt from Magma Fincorp Limited and permitted the applicant to continue the proceedings in its own name.

What did the court decide?

Amendment of cause title to replace assignor with assignee to be carried out within three weeks; interim application disposed of.

Kotak Mahindra Bank Limited vs Magma Fincorp Limited and… — Banking and Recovery | Bombay HC (2024)

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24:BHC-OS:1

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Diksha Rane 263. IA 1859-24.doc

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IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INTERIM APPLICATION NO.1859/2024 IN

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EXECUTION APPLICATION NO.1167 OF 2019

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M/S. KOTAK MAHINDRA LIMITED & ORS. ..APPLICANTS

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IN THE MATTER BETWEEN

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MAGMA FINCORP LIMITED ..CLAIMANTS VS. JPG BATTERYWALA & ORS. ..RESPONDENTS WITH EXECUTION APPLICATION NO.1167/2019 MAGMA FINCORP LIMITED ..APPLICANT VS. JPG BATTERYWALA & ORS. ..RESPONDENTS

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Adv. Bijal Gogri i/b. Om Gujar Law Chambers for applicant.

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------------ CORAM : Rajesh S. Patil, J.

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DATE : July 2, 2024.

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P.C. :

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1. It is the case of the applicant in Interim Application that the Execution Petition is filed by Magma Fincorp Limited being the original decree holder/assignor for recovery of money due from the judgment debtor as per award dated 24 June 2019 passed in its favour. It is further submitted that Magma Fincorp Limited has assigned the entire loan dues/debts payable by the judgment debtors under the

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Diksha Rane 263. IA 1859-24.doc

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award dated 24 June 2019 together with the right, title and benefits accruing, financial documents and underlying security in favour of the present applicant (Kotak Mahindra Bank Limited) vide Deed of Assignment dated 31 March 2021. The said Assignment is in Clause 2.1.1.

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2. It is further submitted that pursuant to the said assignment, the applicant bank i.e. Kotak Mahindra Bank Limited has become absolute owner of the amount receivable under the award dated 24 June 2019 with respect to the loan agreement dated 23 December 2017 together with underlying security interest. It is further submitted that the fact of assignment of the debt is known to the judgment debtors as per the terms of the contractual loan agreement and also as intimated to the respondents vide assignment letter dated 26 April 2021 by the Assignor (Original Claimant) and also vide letter dated 19 July 2021 by the present applicant, post assignment of the debt.

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3. Hence, the applicant submits that it is necessary to bring on record the names and addresses of the assigneeapplicant on record in place and instead of the assignor in the cause title of the execution proceedings and so also,

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Diksha Rane 263. IA 1859-24.doc

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consequential amendments needs to be carried out as per the Deed of Assignment of debts.

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4. It is further submitted that the right to sue survives/continues in favour of the applicant and the applicant be permitted to continue with the Execution Petition in its own name against the respondent-judgment debtor in place and instead of the original decree holder.

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5. I have heard learned counsel appearing for the applicant and I have gone through the contents of the Interim Application. With the help of the applicant’s counsel I have gone through the Deed of Assignment and more particularly clause 2.1.1.

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6. I have also been shown the assignment letter dated 26 April 2021 and 19 July 2021. I am satisfied that the case is made out to allow this Interim Application. The Interim Application is allowed in terms of prayer clauses (a) and (b).

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7. Amendment to be carried out within a period of three weeks from today.

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8. Interim Application is disposed of.

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(Rajesh S. Patil, J.)

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Signed by: Diksha Rane Designation: PS To Honourable Judge Date: 05/07/2024 12:01:04

Kotak Mahindra Bank Limited v. Magma Fincorp Limited and 4 Ors.

Case brief

What is this about?

What did the court decide?

Kotak Mahindra Bank Limited v. Magma Fincorp Limited and 4 Ors.

Case brief

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