Disposed

Mrs Aishwarya Abhijit Joshi v. Punjab National Bank

DRAT25 Aug 2022

Case brief

AI extract

What is this about?

Appeal challenging an interlocutory order granting interim stay on asset sale is taken on file. Tribunal accepted counsel's submission that an auction purchaser aggrieved by such an order has locus standi to appeal under Section 18 of SARFAESI Act, directing Registry to accept the appeal if no defects exist.

What did the court decide?

Registry directed to take the Appeal on file provided there are no defects to be cured.

Mrs Aishwarya Abhijit Joshi versus Punjab National Bank — Banking and Recovery | DRAT (2022)

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

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Appeal on Diary No. 619/2022

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Between

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Mrs. Aishwarya Abhijit Joshi … Appellant/s V/s.

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Punjab National Bank & Anr. … Respondent/s

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Mr. Ismail A. Nashikwala, Advocate for Appellant.

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-: Order dated: 25/08/2022:-

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The matter is taken up for hearing by way of Praecipe filed by Appellant seeking urgent relief.

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The Appellant has filed this Appeal impugning the interlocutory order of the Ld. Presiding Officer in I.A. No. 1076/2019 in Securitization Application (S.A.) No. 366/2019 on the files of D.R.T.-II, Mumbai, wherein an interim order was granted in terms with the prayer in the application stall further proceedings with respect to the sale of the secured assets in favour of the Appellant herein.

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The Appellant is an auction purchaser who took part in the bid for the secured asset and came out as a successful bidder and has also deposited the amount due within the stipulated time. However, by virtue of the impugned interim order passed by the Ld. P.O., she has not got possession of the property and the Sale Certificate is not yet issued.

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The Registry of this Tribunal has raised an objection regarding the locus standi of the Appellant in filing this Appeal because the Appellant was a party to the proceeding before the D.R.T..

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The learned counsel appearing for the Appellant, Shri. Ismail A. Nasikwala, submits that by virtue of the provisions u/s 18 of the Securitization and Reconstruction of Financial Assets and Enforcement of Securities Act, 2002 (the SARFAESI Act for short) ‘any person’ who is aggrieved by an order of the D.R.T. u/s 17 of the SARFAESI Act can maintain an Appeal u/s 18 of the Act. It is further submitted that the Hon’ble High Court of Delhi has in Him Bio Agro Vs. Sulphur Mills Ltd. & Anr. in FAO (OS) (COMM) 85/2022 & CM APPLs. 18677/2022, 18678/2022, 18679/2022, 18680/2022, 18681/2022 & 19643/2022 by an order dated 22.04.2022 relying upon the decision of the Hon’ble Supreme Court in V. N. Krishna Murthy & Anr. Vs. Ravikumar & Ors. (2020) 9 SCC 501: 2020 SCC OnLine SC 664 held that a person who is aggrieved is entitled to file an Appeal challenging the order which affects his rights. It is observed that the test to find out whether it would be proper to grant leave to appeal to a person not a party to a proceeding against the decree or judgment in such proceedings would be to find out whether such a person is prejudicially affected by a decree or judgment.

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In the instant case, the Appellant being a successful auction purchaser, who has deposited the entire amount, is prohibited from taking possession of the property and is not getting a Sale

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Certificate issued because of the interlocutory order passed against him. Hence, she has filed this Appeal.

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I am in agreement with the submissions made by the learned counsel for the Appellant and, therefore, I direct that the Registry shall take the Appeal on the file if there are no other defects to be cured.

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Appellant shall appear before the Registrar for curing the other defects, if any, pointed out by the office.

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Post on 16.09.2022 before the Registrar for compliance.

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Sd/Chairperson

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dpj-8

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Mrs Aishwarya Abhijit Joshi v. Punjab National Bank

Case brief

What is this about?

What did the court decide?

Mrs Aishwarya Abhijit Joshi v. Punjab National Bank

Case brief

What is this about?

What did the court decide?

What the court decided

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