BANK OF INDIA Vs. PRADEEP JAIN

JUDGEMENT

(1.) The Petitioner - Bank of India has filed the instant petition under Article 227 of the Constitution of India praying for a clarification and for framing of general guidelines/rules in respect of the fee payable to Court Receivers.

(2.) The background of the petition is that the contesting Respondent Nos.1 and 2 availed credit facility from the Bank of India and UCO bank as a consortium. It is alleged that the said Respondents had defaulted and accordingly, proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 (hereinafter the 'SARFAESI Act') were commenced.

(3.) An application under Section 14 of the SARFAESI Act was filed for appointment of a Court Receiver to take possession of the properties, which had secured the credit facility. Vide order dated 3rd November, 2017 in MCA No.128/2017, Ms. Jatinder Kaur was appointed as the Court Receiver to take physical possession of the properties. The fee of the Court Receiver was fixed at Rs.75,000/-, which was to be paid by the Bank within 10 days.