Dismissed

Skp Metals v. Bank of Baroda

DRT11 Mar 2025SA/875/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal disposed of a Securitization Application challenging a sale notice issued by Bank of Baroda. After the applicant was directed to provide heir details, the court held that since no bidders appeared for the scheduled sale, the application was infructuous and dismissed it.

What did the court decide?

Application dismissed as infructuous; applicant directed to provide heir details within 15 days.

Skp Metals versus Bank of Baroda — Banking and Recovery | DRT (2025)

SA No.875/2024

11.03.2025

IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 11^th day of March, 2025

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Present: SMT. S.V. GOWRAMMA

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Hon’ble Presiding Officer

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SARFAESI APPLICATION No. 875 of 2024

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S.K.P. Metals, Represented by its proprietor, Mrs. S. Kanthimathi Sivaprakasam, No.W-477, 3rd Avenue, Anna Nagar West, Chennai – 600 101.

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Mrs. Kanthimathi Sivaprakasam, No. W-477, 3^rd Avenue, Anna Nagar West, Chennai – 600 101. ..Applicants

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-Vs-

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The Authorized officer, Bank of Baroda, Zonal Stressed Asset Recovery Branch, No. 45, Moore Street, JBAS Building, 4th Floor, Chennai – 600 001. .Respondent

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Counsels on record / appeared:

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Counsel for Applicant : Ld. Counsel Mr. R. Munuswamy Counsel for Respondent : Ld. Counsel Mr. V.P. parivallal

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: - ORDER ON SA.No. 875/2024- :

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1. The present Securitization Application is filed under sub

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section(1) of S. 17 of the Securitization and Reconstruction of Financial

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Asset and Enforcement of Security Interest Act, 2002(for short the Act)

SA No.875/2024

11.03.2025

challenging the action and the measure taken by the secured creditor under the security Interest Enforcement rules, 2002 (for short the rules).

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The applicant challenges the sale notice dated 16.11.2024 scheduling the property to be sold on 05.12.2024 for recovery of a sum of Rs. 5,11,45,970.55.

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The applicant is a partnership firm and second applicant and R.S. Sivaprakasam were the partners of the applicants firm. R.S. Sivaprakasam died on 11.02.2022 is none other than the husband of the second

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applicant. It is contended by applicant that, late R.S. Sivaprakasam’s mother is also the surviving legal heir who is not a party to he measure and R.S. Sivapraskasam has no other children.

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Further, the sale notice is issued to RS. Sivaprakasam and his wife

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Ms. Gandhimathi Sivapraksam who is already a party in the sale notice. The applicant had filed the SA challenging the sale notice dated 16.11.2024 which was scheduled to be sold on 05.12.2024.

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The respondent has filed a memo on 23.01.2025 submitting that the sale did not take place for want of bidders and hence the SA has become infructuous.

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Heard both the counsels and perused the records of the case.

SA No.875/2024

11.03.2025

The records of the case reflects that M/s. S.K.P. Metals represented by R.S. Sivaprakasam and Ms. S.Kanthimathi Sivapraksam had availed credit facility from the Respondent Bank and had mortgaged the property as security to term loan of Rs. 600 Lakhs and had executed all the loan documents and have mortgaged the property in Vellore District.

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It is also seen that the Respondent bank has filed OA. No.66/2012 and OA is allowed vide order dated 29.10.2012 and a recovery certified in DRC No. 221/2012 was issued on 07.12.2012. It is seen from the records that during the pendency of the recovery proceedings defendant No. 2 ie., Mr. RS. Sivaprakasam have settled one of the property and have sought for release of item No. 1& 2 under schedule B of the OA and have paid an amount of Rs. 46,35,000/- due as on 16.03.2013 and the bank has also filed a Part satisfaction memo which is seen recorded and title deeds pertaining to the properties described in the schedule to the OA was ordered to be returned.

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It is submitted by the applicant counsel that Mr. RS. Sivaprakasam is deceased on 11.02.2022 and the bank has issued the sale notice on the deceased mortgagor Mr. RS. Sivaprakasam.

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The present SA is filed challenging the sale notice dated 16.11.2024

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scheduling the property to be sold on 05.12.2024 and the respondent bank

SA No.875/2024

11.03.2025

has reported no bidders for the schedule sale. It is seen that the prayer has sought for in the SA is to set aside the sale notice dated 16.11.2024.

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As per the death certificate Mr. RS. Sivaprakasam deceased on 11.02.2022 and the contention is that his mother who is also the legal heir is not made as a party.

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The applicant further in the pleadings submitted that Mr. RS. Sivaprakasam has no legal heir children and in such event the mother of the R.S. Shivaprakasam is to be a party in the measures initiated by the Respondent bank under the Act.

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Applicant is hereby directed to give the details of the Late R.S. Sivaprakasam, mother and any other legal heirs if any, to the respondent bank within 15 days on an affidavit to the respondent bank.

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On receipt of the details of the legal heirs, the respondent bank shall

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continue measures under the Act from were the mattter stood today.

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Accordingly, SA stands dismissed as infructuous.

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Interim order if any stays vacated.

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Pending I.A are disposed off.

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No order as to cost.

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(Dictated to stenographer (MS), after its transcription and necessary corrections, signed and order is passed on this day 11^th day of March 2025.

Sd/-

S.V. GOWRAMMA

SA No.875/2024

11.03.2025

PRESIDING OFFICER-DRT III

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SCHEDULE OF THE PROPERTY

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All that piece and parcel of land having an extent of 6.14 acres with building thereon in ambur village along with EB connection & all fixtures attached thereto comprised in S.No. 177/1, New T.S.No. 3/2A (2.12 acres), S.No.177/2, New T.S. No. 3/1A (3.40 acres), S.No. 184/2, New T.S.No. 2/2A (0.62 acres) Falling within the Registration District of Vellure

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and Registration District of Ambur and the land is bounded on the North

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by River Bund Road, South by Ambur Shoes factory Building, East by

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water purifying plant, West by Road Adjacent to the river. (Latitude12.48000. Longitude- 78.421518E)

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LIST OF DOCUMENTS PRODUCED BY THE APPELLANT

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SI.No		Page
	DESCREPTION	No
1	Grounds of appeal dated 04.12.2024	1
2	Loan sanction letter of the respondent dated 14.02.2009	15
3	Letter of the applicant dated 05.03.2009	24

SA No.875/2024

11.03.2025

4	Demand notice under section 13(2) of SARFAESI Act dated 03.01.2011	28
5	Final order in O.A No. 66 of 2012 dated 29.10.2012	32
6	1^stsale notice of the respondent dated 04.02.2021	48
7	OTS Letter of the applicant with DD dated 23.02.2021	50
8	Case status in TSA No. 206 of 2023	53
9	Death certificate of RS. Sivaprakasam dated 11.02.2022	54
10	Proceedings in TSA No. 206 of 2023 dated 27.04.2023	55
11	Impugned sale notice of the respondent dated 16.11.2024	56
12	Vakalath dated 04.12.2024	59
13	Fact sheet dated 04.12.2024	61
14	Check list dated 04.12.2024	64

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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SA No.875/2024 7 11.03.2025

Skp Metals v. Bank of Baroda

Case brief

What is this about?

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Skp Metals v. Bank of Baroda

Case brief

What is this about?

What did the court decide?

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