IFCI LIMITED Vs. MODI INDUSTRIES LIMITED

JUDGEMENT

(1.) The petitioner seeks the setting aside of the order dated 11.12.2006 passed by the Debts Recovery Appellate Tribunal (hereinafter referred to as 'DRAT') in Miscellaneous Appeal No. 150/2003, which, in turn, arose out of an order passed by the Debts Recovery Tribunal (hereinafter referred to as 'DRT') on 18.11.2003 in IA No. 507/2003 in O.A. No. 439/2000 (Delhi-I).

(2.) The entire controversy in this writ petition centres around the question of whether the petitioner herein had the permission and/or consent of the Board for Industrial and Financial Reconstruction (hereinafter referred to as 'BIFR') under Section 22(1) of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereinafter referred to as 'SICA') prior to the institution of the said O.A. No. 439/2000 before the Debts Recovery Tribunal. According to the petitioner, it had the permission and/or prior consent of BIFR for instituting the said O.A. No. 439/2000. The learned counsel for the petitioner place reliance on a communication of May 2000 issued by the Bench Officer to establish the same.

(3.) On the other hand, it is the case of the respondent No. 1 company that the said communication of May 2000 cannot be regarded as "the consent of the Board" as contemplated under Section 22(1) of SICA.