UTKARSH GOYEL Vs. UNION OF INDIA

JUDGEMENT

(1.) The Petitioners have approached this Court challenging a Lookout Circular (LOC) issued against the Petitioners at the instance of Respondent No.3/Bank of Baroda.

(2.) The facts as stated in the counter affidavit filed by the Respondent No.3/Bank of Baroda at whose instance the LOC has been opened are that M/s Royal Industries FZ LLC availed of loan from UAE Branch of Respondent No.3. It is stated that the Petitioners are Promoters and Directors of M/s Royal Industries FZ LLC. It is stated that the Petitioners also stood guarantee for the loan availed by the said M/s Royal Industries. It is stated that the borrower did not pay the loan amount and the account of the borrower was classified as an NPA on 30/6/2016.

(3.) The counter affidavit filed by Respondent No.3 indicates that a complaint that a cheque had been issued for repayment of loan which was dishonoured and a Complaint No.2862/2017 was lodged at Al Raffa Police Station against the signatory of the cheque. The criminal complaint was transferred to Dubai Police Prosecution and thereafter to Dubai Court. The Criminal Court of Dubai convicted the signatory of the cheque and ordered two years of imprisonment. It is also stated that the Respondent No.3 has instituted a civil suit before the Sarjah Court where the Petitioner is a Defendant No.1. A decree has been passed to the tune of Rs.33,95,86,911.30 and an Execution Petition has also been filed which is pending before the courts in Dubai.