According to the petitioners, they stood as guarantors by mortgaging their house property bearing Municipal No.08-03-800/8 situated at Yellareddyguda, Hyderabad, for the loan obtained by one M/s. Renown Industries Pvt. Ltd. from the respondent bank. As the borrower company committed default in repayment of loan, the bank has initiated proceedings under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, and ultimately issued sale notice dated 31.05.2011 proposing to sell the properties including mortgaged property within thirty days. Questioning the same, the petitioners have filed S.A. No. 172 of 2011 before the Debts Recovery Tribunal, Hyderabad. The Tribunal, by order dated 01.07.2011, has granted stay of sale of the petitioners’ property, subject to condition of their depositing Rs.12.00 lakhs within the time stipulated. However, due to certain difficulties, the petitioners could deposit only Rs.6.00 lakhs in pursuance of the said conditional order. While so, the bank, having sold the properties of the borrower in auction, issued auction notice dated 28.05.2012 proposing to sell the petitioners’ property in auction on 04.07.2012, to recover the balance amount due.
