Dismissed

M/S.Arjun Associates v. the Authorized Officer & Area Manager

Kerala HC22 Jun 2016WP(C)/4429/2016

Case brief

AI extract

What is this about?

This writ petition challenged the SARFAESI proceedings initiated by the respondent bank. The Court held that there is no legal bar on the bank to proceed while a DRT application is pending. Since the petitioners failed to remit the agreed amount to secure the stay, the petition was dismissed without a stay order.

What did the court decide?

The writ petition is dismissed without any stay on the proceedings.

M/S.Arjun Associates Vs the Authorized Officer & Area… — Banking and Recovery | Kerala HC (2016)

¶1

IN THE HIGH COURT OF KERALA AT ERNAKULAM

¶2

PRESENT:

¶3

THE HONOURABLE MR.JUSTICE A.M.SHAFFIQUE

¶4

WEDNESDAY, THE 22ND DAY OF JUNE 2016/1ST ASHADHA, 1938

¶5

WP(C).No. 4429 of 2016 (C)

¶6

PETITIONER(S):

¶7

1. M/S.ARJUN ASSOCIATES, T.P.NO.III/286, SOUTH BAZAAR, KANNUR - 670 002,

¶8

REPRESENTED BY ITS MANAGING PARTNER, GEOGO T.D.

¶9

2. GEOGO T.D., S/O.DAMODARAN, MANAGING PARTNER, M/S.ARJUN ASSOCIATES,

¶10

'SANDRAM', MARIKUNNU, P.O.KOZHIKODE - 673 012.

¶11

BY SRI.G.SHRIKUMAR (SENIOR ADVOCATE) ADVS.SRI.K.M.JAMALUDHEEN SMT.LATHA PRABHAKARAN

¶12

RESPONDENT(S):

¶13

1.THE AUTHORIZED OFFICER & AREA MANAGER, THE CATHOLIC SYRIAN BANK LIMITED, ZONAL OFFICE, KOZHIKODE - 672 004.

¶14

2.THE CATHOLIC SYRIAN BANK LIMITED, REPRESENTED BY ITS BRANCH MANAGER, KANNUR BRANCH, FORT ROAD, KANNUR - 670 001.

¶15

BY ADV.SRI.C.A. JOY BY ADV.SRI.R.S.KALKURA

¶16

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22-06-2016, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

¶17

mbr/

¶18

WP(C).No.4429 of 2016 (C)

¶19

APPENDIX

¶20

PETITIONER(S)' EXHIBITS:

¶21

EXT.P1:	TRUE COPY OF THE NOTICE DATED 14/10/2015 ISSUED UNDER SECTION 13(2) OF SARFEASI ACT.
EXT.P2:	TRUE COPY OF DEMAND NOTICE DATED 19/11/2015 ISSUED BY THE COUNSEL FOR THE RESPONDENTS.
EXT.P3:	TRUE COPY OF THE LETTER DATED 18/12/2015 ISSUED BY THE RESPONDENT BANK.
EXT.P4:	TRUE COPY OF THE SUMMONS IN O.A.NO.555/2015 ISSUED BY DEBT RECOVERY TRIBUNAL, ERNAKULAM.
EXT.P5:	TRUE COPUY OF THE INJUNCTION ORDER IN I.A.NO.3079/15 IN O.A.NO.555/2015 ALONG WITH INJUNCTION SCHEDULE ISSUED BY DEBT RECOVERY TRIBUNAL, ERNAKULAM.
EXT.P6:	TRUE COPY OF THE LETTER DATED 29/01/2016 ISSUED BY THE RESPONDENT BANK.

¶22

RESPONDENT(S)' EXHIBITS & ANNEXURES:

¶23

ANNEXURE A : TRUE COPY OF THE PROPOSAL REGARDING THE PURCHASE OF THE PROPERTY AND PAYMENT SCHEDULE MADE BY MR.GOPAKUMAR.

//TRUE COPY//

P.S. TO JUDGE

mbr/

A.M.SHAFFIQUE, J.

¶28

W.P.(C).No.4429 of 2016

¶29

----------------------------------- Dated this the 22^nd day of June, 2016

¶30

J U D G M E N T

¶31

This writ petition has been filed challenging SARFAESI proceedings initiated by the respondent Bank. It is submitted that the respondents had already filed O.A.No.555/2015, which is pending before the Debt Recovery Tribunal and during the pendency of the said application, there is no necessity to proceed under the SARFAESI Act.

¶32

It is not in dispute that there is no legal bar for the Bank to proceed under the SARFAESI Act, though an application is pending before the Debt Recovery Tribunal for determination of the amount. Under such circumstances, the petitioners cannot legally sustain a contention that SARFAESI proceedings cannot be initiated.

¶33

That apart, this Court had stayed the further proceedings against the petitioners in terms of Ext.P1 on condition of the petitioners remitting 25 lakhs on or before 15.04.2016 and 192₹ ₹ lakhs on or before 16.05.2016. However, no such payment had been effected. Under such circumstances, I don't think that there is any necessity to keep this writ petition pending.

¶34

Accordingly, this writ petition is dismissed.

¶35

Sd/-

¶36

A.M.SHAFFIQUE, JUDGE.

¶37

M/S.Arjun Associates v. the Authorized Officer & Area Manager

Case brief

What is this about?

What did the court decide?

M/S.Arjun Associates v. the Authorized Officer & Area Manager

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

M/S.Shreyas (Ernakulam) Vs State Bank of Travancore

Union Bank of India Vs S. Sudheerdas

S.Anil Kumar Vs Authorized Officer, Tamil Mercantile Bank Ltd.

The Kerala State Cashew Evelopment Corp. Vs Labour Court,Kollam

A.R.Chandran Vs State of Kerala

Suneesh Kumar Vs the Kerala State Electricity Board