Partly allowed

Siba International v. Union Bank of India

DRAT24 Aug 2022MISC APPEAL/131/2022

Case brief

AI extract

What is this about?

Appellant sought a waiver of the statutory pre-deposit under Section 18 of the SARFAESI Act, citing business losses and partial payment. The Tribunal dismissed the immediate waiver request and directed a partial deposit to proceed.

What did the court decide?

Appellant directed to deposit 25% of the pre-deposit amount (Rs. 98,95,869/-); prayer for the remaining 25% to be reconsidered thereafter.

Siba International versus Union Bank of India — Banking and Recovery | DRAT (2022)

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DEBTS RECOVERY APPELLATE TRIBUNAL, DELHI

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Misc. Appeal No. 131/2022 Arising out of S.A. No. 208/2021 (DRT-III, Delhi)

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SIBA International Vs Union Bank of India

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24.08.2022 Hon’ble Mr. Justice BrijeshSethi

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Present: Mr. Rajeev Lochan, Ld. counsel for the appellant.

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This matter has been taken up by me through Video Conferencing.

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Vide this order I shall dispose of an application filed by the appellant for waiver for waiver of pre-deposit as provided under proviso 3 of Section 18 of the SARFAESI Act.

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Ld. counsel for the appellant has submitted that appellant has suffered heavy losses in his business due to sudden close down of the unit by the order of the Uttar Pradesh Government and ongoing pandemic. It is further submitted that appellant is not in position to deposit 50% of the alleged debt which is claimed by the respondent bank.He has, therefore, prayed that appellant should not be directed to deposit the 50% amount of the alleged due claimed by the respondent bank.

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It is further submitted that appellant has deposited an amount of Rs. 1,60,00,000/- (Rs. One Crore Sixty Lacs only), which may be considered against the statutory minimum deposit of 25% of NPA Notice, in the interest of justice.

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I have heard the Ld. counsel for the appellant and perused the record. Perusal of record reveals that request of the appellant was already dismissed by this Tribunal vide detailed order dated 15.07.2022.

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As observed by this Tribunal in its earlier order dated 15.07.2022, the applicant has to pay an amount of Rs. 5.55,83,476.46. Ld. counsel for the appellant states that out of the said amount, appellant has already deposited Rs. 1.60 Crores. The remaining amount is Rs. 3,95,83,476.46/- and the appellant has

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to deposit either 50% of the same i.e. Rs. 1,97,91,738.23/- or 25% of the amount due which comes to Rs. 98,95,869/- to entertain the present appeal as per Section 18 of the SARFAESI Act.

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Let the appellant first deposit 25% of the pre-deposit amount i.e. Rs. 98,95,869/-, and thereafter, his prayer for deposit of remaining 25% of the predeposit will be considered by this Tribunal.

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Let the matter be listed on the date already fixed i.e. 15.09.2022. In case, the appellant deposits 25 % of the pre-deposit amount, his appeal may be listed on an early date on his request.

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(CHAIRPERSON)

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Siba International v. Union Bank of India

Case brief

What is this about?

What did the court decide?

Siba International v. Union Bank of India

Case brief

What is this about?

What did the court decide?

What the court decided

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