The court dismissed the writ petition filed by petitioners seeking to quash a notice under Section 13(4)(d) of the SARFAESI Act for non-appearance and failure to show interest. Connected writ miscellaneous petitions were also closed.
The writ petition was dismissed for non-prosecution. No costs awarded.
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.
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 07.07.2017
CORAM:
THE HON'BLE MR.JUSTICE S.MANIKUMAR AND THE HON'BLE MRS.JUSTICE V.BHAVANI SUBBAROYAN
W.P.No.12217 of 2017 and WMP Nos.13015 & 13016 of 2017
WRIT Petition filed under Article 226 of the Constitution of India, praying for the issuance of a writ of certiorari, calling for the records of the impugned order passed by the 1st respondent in Notice to Tenant / Lessee u/s.13(4)(d) dated 6.3.2017 and quash the same.
For Petitioners : No appearance.
For Respondents : Mr.M.L.Ganesh (for R1)
ORDER
(Order of the Court was delivered by S.MANIKUMAR, J)
Impugned proceedings dated 06.03.2017, is extracted hereunder.
NOTICE TO TENANT/LESSEE u/s 13[4][d] Notice under Section 13[4][d] of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, read with rule 4[5] of the Security Interest [Enforcement] Rules, 2002.
Date : 06.03.2017
M/s.S.S.Infoline, Old Door No.20, New Door No.14, Jahangir Street, Second Line Beach, Muthialpet, George Town, Chennai-93 [Lessee of the Borrower]
Reg : Mortgaged property Bearing Old Door No.20, New Door No.14, Jahangir Street, Second Line Beach, Muthialpet, George Town, Chennai 600 093 standing in the name of Mr.K.Suresh, Borrowers/Guarantors/ Mortgagors in the account of M/s.New Fashion Clothing, borrowers.
The secured creditor Punjab National Bank [name of Bank/FI] has issued a notice to M/s.New Fashion Clothing, borrowers/guarantors/mortgagors on 04.07.2016 under Section 13[2] of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and demanded payment of Rs.8,45,67,789.46P as on 30.06.2016 plus future interest and charges within 60 days, the borrowers/guarantors/mortgagors failed to pay the said amount within the notice period. Hence the Bank has taken possession of the mortgaged properties, which presently are in your occupation, under the provisions of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, on 17.09.2016.
It is brought to the notice of the undersigned by the secured creditor that you are a Debtor/Lessee being the occupant tenant in property bearing Old Door No.20, New Door No.14, Jahangir Street, Second Line Beach, Muthiyalpet, George Town, Chennai 600 093 standing in the name of Mr.S.Suresh, Borrowers/Guarantors/ Mortgagors in the account of M/s.New Fashion Clothing, borrowers mortgaged to the Bank, and the rent as per your lease agreement is due by you to the above named persons as rent payable at monthly intervals.
Hence, you are hereby prohibited u/s 13[4][d] of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, to make payment pertaining to the rent/lease rentals due to the above named persons. You are further called upon to pay the rent/lease rentals amount to the undersigned by Demand Draft/Pay Order in the name of the secured creditor, i.e., Punjab National Bank within a period of 15 days from its due date at monthly intervals as per terms of the lease deed[s] executed between the above https://hcservices.ecourts.gov.in/hcservices/ named borrower/guarantor[s]/mortgagor[s] as
debtors/lessee. The copy of this notice is also being endorsed to the borrower/guarantor[s] mortgagor[s].
Signature
Date : 06.03.2017 Place : ARMB, Chennai
[Authorised Officer]
W.P.No.12217 of 2017 and WMP Nos.13015 & 13016 of 2017 MSM(CO) sp(18/07/2017)
2 issues framed by the court
Whether the writ petition filed seeking quashing of notice under section 13(4)(d) of SRF Act should be allowed when no representation was filed.
Whether the petitioners have shown sufficient interest to maintain the writ petition in the absence of any representation.
2 provisions across 2 enactments
Navjit Clothing
S.S.Infoline
Punjab National Bank
Mr.Suresh
S.MANIKUMAR
V.BHAVANI SUBBAROYAN
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
