Dismissed

Mr Sanjeev Das & Ors. v. Export-Import Bank of India & Ors.

DRAT5 Sept 2022IA/947/2016

Case brief

AI extract

What is this about?

The Debt Recovery Appellate Tribunal directed appellants to deposit a sum of Rs. 13 Crores under Section 21 of the RDB Act for waiving the deposit requirement in an appeal challenging an order allowing substitution of the assignee, dismissing the appeal on default.

What did the court decide?

Appellants directed to deposit Rs. 13 Crores in two installments; failure to pay would result in dismissal of appeal.

Mr Sanjeev Das & Ors. versus Export-Import Bank… — Contract and Commercial Disputes | DRAT (2022)

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BEFORE THE DEBTS RECOVERY APPELLATE TRIBUNAL, AT: MUMBAI Present: Mr Justice Ashok Menon, Chairperson

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I.A. No. 947/2016 (WoD)

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Appeal No. 50/2017

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Between

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Mr. Sanjeev Das & 2 Ors. … Appellant/s V/s.

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Export-Import Bank of India & 6 Ors. … Respondent/s Mr N. R. Mourya, Advocate for Appellants.

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Mr. Nachiket Ratnaparkhi, i/b M/s. Vidhii Partners, Advocate for Respondent No.2.

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-: Order dated: 05/09/2022:-

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Heard the learned counsel appearing for the Appellants and

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Respondent No.2. This Appeal is filed u/s 20 of the Recovery of Debts and Bankruptcy Act, 1993 (hereinafter referred to as the RDB Act) impugning the order of the Learned Presiding Officer D.R.T.-

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II, Mumbai, dated 25.08.2016 in which he had allowed the Interlocutory Application (I.A.) No.330/2014 which was for bringing on record Edelweiss Asset Reconstruction Company Ltd. in place of Applicant therein, Export-Import Bank of India, for the reason that the debt claimed from the Respondents herein was assigned to the financial institution which was sought to be impleaded. The Application was allowed by the impugned order and now stands

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challenged in this Appeal. The appeal has been pending since 2016.

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I.A. No. 947/2016 is an application for waiver of deposit under Section 21 of the RDB Act.

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The learned counsel for the Appellant submits that he is not ready for a hearing because is not prepared.

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The Reply has been filed by the Respondent No.2 stating that

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the amount has now swelled up to about Rs.27 Crores. The claim in the O.A. filed in the year 2013, is for Rs.19,42,16.350.96/-together with future interest the amount due has now swelled up to Rs.27 Crores as stated by Respondent No.2.

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The Appellants have not paid any amount in the interregnum period. Under this circumstance, the contentions raised challenging the impugned order do not appear to be very satisfactory because the Assignee is always at liberty to get substituted in place of the Assignor and there is no impediment to the assignment of a debt.

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Under circumstances, the Appellants are directed to deposit a

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sum of Rs.13 Crores u/s 21 of the RDB Act within a period of four weeks into two equal tranches. The 1^st installment of Rs.6.5 Crores shall be deposited within the two weeks i.e. on or before 19.09.2022

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and the 2^nd installment shall be deposited on or before 03.10.2022 in

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the form of a Demand Draft drawn in favour of the Registrar, DRAT, Mumbai.

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As and when the said amounts are deposited, they shall be invested in term deposits in the name of Registrar, DRAT, Mumbai, with any nationalized bank, initially for 13 months, and thereafter it will be renewed periodically.

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Default in payment of any of the installments on time would result in the Appeal being dismissed.

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Post on 20.09.2022 for reporting compliance concerning payment of the first installment.

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Sd/Chairperson

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dpj-5

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Mr Sanjeev Das & Ors. v. Export-Import Bank of India & Ors.

Case brief

What is this about?

What did the court decide?

Mr Sanjeev Das & Ors. v. Export-Import Bank of India & Ors.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

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