Appellant failed to deposit 25% mandatory pre-deposit. Court held auction proceeds excluded from pre-deposit. Appeal dismissed if not deposited; otherwise listed for waiver hearing.
Appeal dismissed if pre-deposit not made by next date; otherwise listed for hearing on waiver of rest 25% on 22.05.2023.
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.
Regular Appeal No. 47/2017 Date: 01.03.2023
Yamuna Sikaria & Ors. Vs. The Federal Bank Ltd. & Ors.
Present: Shri Azad Khan, Advocate holding brief of Shri Alok Rai, counsel for the appellants, Shri Sudhanshu Mishra, counsel for the respondent no. 4,
The office report dated 28.02.2023 shows that no pre-deposit has been made.
In the present case, the appellant has 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 appellant 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 appellant is directed to deposit minimum 25% of the amount due, which is mandatory in nature, by the next date fixed for entertaining the appeal. If the appellant does not deposit the said amount prior to the next date fixed, the appeal shall stand dismissed as not entertainable for want of mandatory pre-deposit without further reference to this court. If the said amount is deposited by the appellant within the stipulated period, list this case on 22.05.2023 for hearing on waiver of the rest 25% of the amount due.
Justice R. D. Khare Chairperson
Anupam
2 issues framed by the court
Whether auction proceeds can be considered towards mandatory pre-deposit under section 18 of SARFAESI Act
Whether appeal is entertainable without mandatory pre-deposit of 25% of amount due
Colour shows how this judgement treated each authority
Sidha Neelkanth Paper Industries Private Limited & Another Vs. Prudent ARC Limited & OthersDistinguished¶5
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
1 provisions across 1 enactments
Yamuna Sikaria & Ors.
The Federal Bank Ltd. & Ors.
R. D. Khare
As recorded by the court registry
4 orders share this CNR
Judgements on the same questions, provisions and authorities, from every court
