Shanti Devi Jain Memorial Trust and Another v. Punjab National Bank and Ors.

Appeal Dy. No. 905/2022 Date: 07.11.2022

Shanti Devi Jain Memorial Trust & Anr. Vs. Punjab National Bank

Present: Shri A. K. Bansal, counsel for the appellants,

The present appeal has been filed under section 18 of the SARFAESI Act against the interim order dated 03.10.2022 passed by the DRT, Dehradun in S.A. No. 37/2022. The urgency application being I.A. No. 538/2022 and the waiver application being I.A. No. 544/2022 have been filed.

Since the matter has been taken up, therefore, the urgency application being I.A. No. 538/2022 has become infructuous. Hence the same stands disposed off as such.

The learned counsel for the appellant contends that his OTS proposal was accepted by the respondent-bank and pursuant to the said OTS proposal, the appellant was depositing the amount as per condition of the OTS. He further contends that as the OTS letter was given to him after three months of sanction, therefore, an application was made by the appellant to the bank for extending the period of OTS by 3 months. It is contended that even though, the appellant was suffering from Covid and the period of OTS was not extended, for which the appellants initiated the proceedings by filing the S.A. no. 37/2022 before the Tribunal below. It is contended that the Bank has accepted the contention but said that as another account of the appellant is also tobe settled, therefore, they clubbed the outstanding of both the accounts and sought for fresh representation from the appellant, which was duly given by the appellant.

It is contended that thereafter the Bank started pressing for depositing the amount of Rs. 44.00 lacs, which was also done, but the Bank refused to accept the cheque on the proposal as given by the Bank at their request. Therefore, the application was moved by the appellant for granting interim relief stating that the earlier OTS with regard to one account in which Rs. 99,06,401/- was to be deposited, be allowed so that the appellant may deposit the amount and one account be settled, which application has been dismissed, against which the present appeal has been filed.