Disposed

Kotak Mahindra Bank v. M/s. Vaizer Agro Chemicals Ltd.

DRT9 Nov 2023APPEAL/1/2023

Case brief

AI extract

What is this about?

The Appellate Tribunal disposed of an appeal and three miscellaneous applications filed by a defaulter and guarantors against Kotak Mahindra Bank. The matter was settled out of court upon the bank agreeing to release mortgaged property and discharge liability upon receipt of partial payments and withdrawal of objections.

What did the court decide?

Appeal and miscellaneous applications disposed of as settled; guarantors discharged from liability to the extent of mortgaged property in Golwadi, Aurangabad.

Kotak Mahindra Bank versus M/s. Vaizer Agro Chemicals Ltd. — Company and Corporate | DRT (2023)

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Presented on: 20.01.2023 Registered on: 10.02.2023 Decided on: 09.11.2023 Duration: Y M D 00 09 20

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IN THE DEBTS RECOVERY TRIBUNAL, AT AURANGABAD

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COMMON JUDGMENT IN APPEAL No. 01/2023

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Kotak Mahindra Bank Limited, Having its Asset Reconstruction Division, At 6th floor, C-12, G-Block, Bandra Kurla Complex, Bandra (East), Mumbai 400 051. Through its Authorized Signatory.

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… Appellant

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Versus

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M/s. Vizar Agro Chemicals Ltd. (In liquidation).

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Vishwas Laxman Bhosle (Deceased) Through his LR's

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2 B. Amit @ Vivek Laxman Bhosle Age: Major, Occ. : Business, R/o. House No. 2417, Main Road Chowk, Opp. Tahsil Office Paithan, Paithan, Dist. Aurangabad.

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Sanjay Sundarao Solanke (Deceased) Through his LR's

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3A. Nutan Sanjay Solanke (Deceased) Through his LR's

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[APK] (APPEAL No.10/2015) Page 1 of 12

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3B. Harshvardhan s/o Sanjay Solanke Age: Major, Occ. : Business, R/o. Flat No. 10, Marvel Residency, South Main Road, Koregaon Park, Pune 411 001 Through his GPA Chandrakant Sundarrao Solanke, Age: Major, Occ. : Business, R/o. Bunglow No. 46, Florida Estate, Keshav Nagar, Pune 411 036.

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3C. Riya d/o Sanjay Solanke Age: Major, Occ. : Business, R/o. Flat No. 10, Marvel Residency, South Main Road, Koregaon Park, Pune 411 001 Through her GPA Chandrakant Sundarrao Solanke, Age: Major, Occ.: Business, R/o. Bunglow No. 46, Florida Estate, Keshav Nagar, Pune 411 036.

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3D Ciya d/o Sanjay Solanke Age: Major, Occ. : Business, R/o. Flat No. 10, Marvel Residency, South Main Road, Koregaon Park, Pune 411 001 Through her GPA Chandrakant Sundarrao Solanke, Age: Major, Occ. : Business. /o. Bunglow No. 46, Florida Estate, Keshav Nagar, Pune 411 036.

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3E Ratnamala Sundarrao Solanke

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(Deceased) Through her LR's.

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(i) Prakash s/o Sundarrao Solanke, Age: major, Occ: Social Service, R/o: Flat No. 303, Marvel Aurum, Lane No.7, Koregaon Park, Pune 411 001.

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(ii) Chandrakant s/o Sundarrao Solanke, Age: major, Occ: Business, R/o: Bungalow No.46, Florida Estate, Keshav Nagar, Pune 411036.

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[APK] (APPEAL No.10/2015) Page 2 of 12

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(iii) Dhyarasheel s/o Sundarrao Solanke, Age: major, Occ: Social Service, R/o: C-302, Sky Belvedere, Vimannagar, Pune 411 014.

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(iv) Sanjay s/o Sundarrao Solanke, deceased through his LRS:

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a) Harshvardhan s/o Late Sanjay Solanke, Age: major, Occ: Business, R/o: Flat No.10, Marvel Residency, South Main Road, Koregaon Park, Pune 411001.

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b) Rhea d/o Late Sanjay Solanke, Age: major, Occ: Business, R/o: Flat No.10, Marvel Residency, South Main Road, Koregaon Park, Pune 411001.

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c) Cia d/o Late Sanjay Solanke, Age: major, Occ: Business, R/o: Flat No.10, Marvel Residency, South Main Road, Koregaon Park, Pune 411001.

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Vishwajeet s/o Subhash Zawar, Age: Major, Occ: Business, R/o Jewel Tower, 301-302, Lane No. 5, Ashoka Chakra Society, Meera Nagar, Koregaon Park, Pune-411 001. Maharashtra State.

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Atul s/o Moreshwar Save, Age: Major, Occ: Business, At Anjali Cinema Complex, Khadkeshwar, Aurangabad.

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Shri Laxman Nivrutti Solunke, Age: Major, Occ: Business, R/o 54, Haridwar, Sector-A, N-1, CIDCO, Aurangabad.

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[APK] (APPEAL No.10/2015) Page 3 of 12

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Shri Keshavrao Tatyarao Kashid, (deceased through his LR’s) Baliram Keshav Kashid, R/o Saliwada, Near Bhosale Hospital, Paithan, Dist. Aurangabad.

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Arun s/o Gulabrao Chavan Age: Major, Occ: Agri, R/o: Mukeri Mohalla, Near Bhosale Hospital, Paithan, Dist. Aurangabad.

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The United Western Bank, Through its Branch Manager, Branch at Kushalnagar, Jalna Road,

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… Respondents

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APPEARANCE

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For the Appellants For Respondent No.3 For Respondent No. 4 For Respondent No. 5

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Mr. S.R.Deshpande - Advocate Mr. S.R.Vakil - Advocate Mr.S.B.Gorde Patil – Advocate Mr. A.S.Karlekar - Advocate

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And MISC. (DIARY) No. 25/2023

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Vishwajeet s/o Subhash Zawar, Age: Major, Occ: Business, R/o Jewel Tower, 301-302, Lane No. 5, Ashoka Chakra Society, Meera Nagar, Koregaon Park, Pune-411 001. Maharashtra State.

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And MISC. (DIARY) No. 28/2023

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Atul s/o Moreshwar Save, Age: Major, Occ: Business, At Anjali Cinema Complex, Khadkeshwar, Aurangabad.

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… Applicant

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… Applicant

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[APK] (APPEAL No.10/2015) Page 4 of 12

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And

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MISC. (DIARY) No. 30/2023

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Vishwajeet s/o Subhash Zawar, Age: Major, Occ: Business, R/o Jewel Tower, 301-302, Lane No. 5, Ashoka Chakra Society, Meera Nagar, Koregaon Park, Pune-411 001. Maharashtra State.

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… Applicant

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^{Shri Vimal Gupta} Presiding Officer

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JUDGEMENT PRONOUNCED ON : 09 .011.2023

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JUDGMENT

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This is an appeal under Section 30 of The Recovery of Debts Due To Banks And Financial Institutions Act, 1993 (for short “the 1993 Act”).

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The present appeal is filed by the appellants challenging the order dated 21.12.2022 passed by the Ld. Recovery Officer below Exhibit - 208 in Recovery Proceeding No.38/2005

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Grounds on which the appeal is filed:

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(i) The assignor of certificate holder bank has filed Original Application No. 115A/2001 for recovery of

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[APK] (APPEAL No.10/2015) Page 5 of 12

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Rs.4,34,08,134.18ps. Which was decided by judgment dated 27.05.2005 and R.C. issued against respondent nos. 1, 2A to 2C, 3(a) to 3(e) & 4 to 9.

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(ii) The appellant has preferred appeal no. 303/2005 and MA No. 499/2005 before Hon’ble DRAT, Mumbai, which is allowed vide order dated 11.02.2015 and consequently by order dated 09.12.2021 the proceeding continued against all the certificate debtor except certificate debtor no.4 Atul Save.

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(iii) The Lr’s of respondent no.3 approached appellant for settlement and represented to pay Rs.13.51 crores along with interest @ 12% p.a. from 01.04.2022 to release the mortgage charge on gut No.12, Golwadi, Tq. & Dist. Aurangabad, consent terms was recorded at Exhibit 186.

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(iv) As per the consent terms, Appeal no.303/2005 disposed of and the matter proceeded against all the certificate debtors except defendant namely Atul

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[APK] (APPEAL No.10/2015) Page 6 of 12

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Save. The Hon’ble DRAT specifically recorded that the appellant does not intend to proceed against the LR’s of respondent no.3 and accordingly appellant has issued No dues certificate on 02.11.2022.

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(v) The respondent no.5 Atul Save has filed objection to settlement between the appellant and LR’s of respondent no.3. the respondent no.4 has prayed for initiating action against LR’s of respondent no.3 as they have sold plots from gut no. 12, Golwadi, Aurangabad. by order dated 21.12.2022 the Ld. Recovery Officer has directed to forward the contempt petitioner to the Hon’ble Registrar, High Court.

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The appellant Bank and also filed Interlocutory Application No.1791/2023 and prayed for discharged of respondent nos. 4 & 5 as guarantors.

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MA Diary No. 25/2023 is filed by respondent no.4 and prayed to discharge him from the liability under Recovery Proceeding No. 38/2005 and submits as under:

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[APK] (APPEAL No.10/2015) Page 7 of 12

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i. The applicant /respondent no.4 submits that the bank has illegally setting aside with LR’s of certificate debtor no.3 only for partial loan amount and has agreed to release the sole mortgage property.

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ii. The applicant /respondent no.4 has filed objection to the consent terms on 15.07.2022 & 05.09.2022

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iii. The applicant /respondent no.4 submits that the LR’s of respondent no.3 and bank in collusion has played fraud and has obtained orders from Hon’ble DRAT and also has illegally sold the plots from mortgaged property.

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MA Diary No. 28/2023 is filed by respondent no.5 and prayed to discharge certificate debtor nos. 4 to 6 from the liability under Recovery Proceeding No. 38/2005 and submits as under :

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i. The applicant /respondent no.5 submits that, the bank has illegally discharging the LR’s of certificate debtor no.3 only for partial loan amount and has

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[APK] (APPEAL No.10/2015) Page 8 of 12

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agreed to release the sole mortgage property without the consent of present applicant.

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ii. The applicant /respondent no.5 submits that without consent of the Tribunal the bank has illegally settled the matter with the LR’s of certificate debtor no.3. It is further stated that despite issuance of notices on contempt petition the LR’s of certificate debtor no.3 have sold the plots for mortgaged properties and the bank has illegally consented to release the sole mortgaged property.

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M.A. Diary No. 30/2023 is filed by respondent no.4 and prayed to declare the sale deed are null and void executed by LR’s of deceased respondent no.3 from the mortgaged property.

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The appellant bank and respondent no. 4 has filed consent terms which is taken on record as under:

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i. The respondent no.4 agreed to pay Rs. 10 lac towards the full and final settlement of the amount and the respondent no.4 has paid the same vide

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[APK] (APPEAL No.10/2015) Page 9 of 12

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demand draft no. 012099 dated 04^th October, 2023.

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ii. On payment the bank has to proceed further in the matter against the respondents except LR’s of deceased respondent no.3, respondent no.4 namely Vishwajeet s/o Subhash Zawar and respondent no. 5 namely Atul s/o Moreshwar Save.

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iii. The LR’s of respondent nos. 3, respondent nos.4 & 5 have consented to withdraw the objections filed by them before the authorities regarding the mortgaged properties.

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iv. The applicants undertake subject to fulfilments of the terms and conditions they are agreed to not press the said contempt petition.

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v. On receipt of Rs. 10 lac the bank shall not claim any amount from respondent no.4 & release the applicant as guarantor.

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In this matter the bank has already settle the liability of LR’s of respondent no.3 and has already discharged them from their liability. The application diary no.

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[APK] (APPEAL No.10/2015) Page 10 of 12

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25/2023 and diary no. 30/2023 are filed by the respondent no.4 & 5 respectively for discharging them from the liability.

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The matter is settled out of court between the bank and LR’s of respondent no.3, respondent No.4 and respondent no.5 and they have filed consent terms on record.

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In view of the consent terms recorded by the parties observations made hereinabove, I pass the following order.

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ORDER

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(A) Appeal no.10/2015 along with Application Diary No.25/2023, 28/2023 & 30/2023 are disposed of as settled as against the LR’s of respondent no.03, respondent No.4 Vishwajeet s/o Subhash Zawar & respondent no.5 Atul s/o Moreshwar Save stands disposed of as settled.

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(B) The LR’s of respondent no.3, respondent nos.4 & 5 who are the certificate debtors nos.3(a) to 3(e),

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[APK] (APPEAL No.10/2015) Page 11 of 12

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certificate debtor no.4 & 5 are discharged from the liability under the Recovery Proceeding No.38/2005 to the extent of property situated at Golwadi, Aurangabad.

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(C) Registry is directed to modify the RC accordingly and the consent terms filed by the parties be treated as the part and parcel of the Recovery Certificate.

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(D) All interim orders stand vacated & all interlocutory applications stand disposed off accordingly.

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(E) Registry is directed to place the copy of this order along with Application diary no.25/2023, 28/2023 & 30/2023.

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(F) Consign the files to the Record Room and orders be uploaded on official web-site.

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(Vimal Gupta) Presiding Officer Debts Recovery Tribunal, Aurangabad

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[APK] (APPEAL No.10/2015) Page 12 of 12

Kotak Mahindra Bank v. M/s. Vaizer Agro Chemicals Ltd.

Case brief

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Kotak Mahindra Bank v. M/s. Vaizer Agro Chemicals Ltd.

Case brief

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