Mrs Manju Singh Singhla and Anr. v. Punjab National Bank and Ors.
Case brief
What is this about?
The Supreme Court directed appellants to deposit 25% of the amount due as a mandatory predeposit under Section 18 of the SARFAESI Act. Failure to deposit would result in dismissal without further reference. The appeal was listed for subsequent hearing on waiver of the remainder after deposit.
What did the court decide?
Appellants directed to deposit 25% of the amount due within a month for entertaining the appeal.
What the court decided
A compact analysis
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
Appeal Dy. No. 30/2022 Date: 21.03.2023
Mrs. Manju Singh Singhla & Anr. Vs. Punjab National Bank & Ors.
Present: Shri Vipul Pandey, Advocate holding brief of Shri Alok Saxena, counsel for the appellants, Shri S. K. Srivastava, counsel for the respondent-Bank,
The office report dated 20.03.2023 shows that no steps have been taken by the learned counsel for the appellant for service of notice upon the respondent nos. 2 & 3 and no predeposit has been made.
Learned counsel for the respondent-Bank submits that he has not been served with the copy of appeal. Learned counsel for the appellant submits that he shall serve the same upon the counsel for the respondent-Bank during course of the day, who may file reply by the next date fixed.
In the present case, the appellants have not deposited any amount towards minimum deposit of 25% of the amount due, which is mandatory in nature in view of the third proviso of section 18 of the SARFAESI Act, as the amount realized by the Bank from auction sale of the property of the appellant cannot be taken into consideration towards pre-deposit in view of the judgment passed by the Hon’ble Apex Court in Civil Appeal No. 8969 of 2022- M/s Sidha Neelkanth Paper Industries Private Limited & Another Vs. Prudent ARC Limited & Others decided on 05.01.2023 .
In the waiver application, the learned counsel for the appellants has stated that the property has been auctioned by the respondent-bank, but the same cannot be considered towards pre-deposit in view of the judgment as referred to above. Therefore, the appellants are directed to deposit 25%
Issues for consideration
3 issues framed by the court
Whether the appellants are mandated to deposit 25% of the amount due as a predeposit in the appeal under third proviso of section 18 of the SARFAESI Act without considering auction proceeds.
Whether the appeal is maintainable for entertainability given the failure to make the mandatory predeposit.
Whether the notice must be served on respondent nos. 2 and 3 before hearing of the appeal.
Parties & counsel
- appellant
Manju Singh Singhla
- respondent
Punjab National Bank
Coram
R. D. Khare
Case details
As recorded by the court registry
- Court
- DRAT
- Decided on
- · March
- CNR
- 091090000302022
- Topic
- Banking and Recovery
All orders in this case
10 orders share this CNR
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