ANIL KUMAR AGARWAL Vs. ICICI BANK

JUDGEMENT

(1.) BY this petition, the petitioner seeks to challenge the legality and validity of the notice dated 21-3-2009 (Annexure P/5) issued by the respondent bank under the provisions of Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short "the Act, 2002"). Further to quash the proceedings initiated by the respondent No. 2 i.e. District Magistrate, Raipur.

(2.) THE indisputable facts, in nutshell, as projected by the petitioner, are that the petitioner is carrying on the business in the name and style of M/s. Shyam Rice & Parboiling Unit at Nevra District, Raipur. According to the petitioner, the petitioner applied for various loans and credit facilities from the respondent bank. After completing the necessary formalities, the respondent bank granted the loan benefit to the petitioner. However, on account of restriction imposed by the Krishi Upaj Mandi Samiti, Nevra on 28-2-2009 (Annexure P/1) from carrying the business of rice mill and parboiling, the petitioner committed certain defaults in making the payment of loan to the respondent bank. THE said fact has been brought by the petitioner to the notice of the respondent bank. In spite of said information, the respondent bank compelled the petitioner to make payment of loan amount. Even the legal notice dated 3-2-2009 (Annexure P/3) has been sent by the respondent bank and asked the petitioner to make entire amount of loan along with interest accrued thereon within a period of 15 days. After receipt of the said notice the petitioner submitted its reply dated 20-2-2009 (Annexure P/4) mentioning all the difficulties faced by it and requested not to initiate any action under the provisions of the Act, 2002.

(3.) INDISPUTABLY, the petitioner obtained a loan to the tune of Rs. 2,23,50,000/- on security of immovable properties under his ownership, his spouse and ownership of Mr.Girdhan Agrawal and Mr.Sitaram Agrawal as guarantors. The petitioner failed in regular payment of the installments. Thus, a notice was issued to the petitioner under Section 13(2) of the Act, 2002 on March 21st 2009 (Annexure P-5) calling upon M/s. Shyam Rice and Parboiling Unit I and II,Camp Tida, Post Nevra, District Raipur, the petitioner Mr. Girdhan Agrawal and Mr. Sitaram Agrawal as guarantors, to discharge their liabilities.