JAYASREE M.S. Vs. DEBT RECOVERY APPELLATE TRIBUNAL

JUDGEMENT

(1.) The case projected in this OP(DRT) No.2 of 2020 is as follows: The petitioner herein is the petitioner in I.A.No.921/2019 in AIR(SA) No.330/2019 on the file of the Debt Recovery Appellate Tribunal, Chennai, filed for waiver on the condition of pre-deposit for entertaining the Appeal filed by the petitioner in S.A.No. 444/2019 on the file of the Debt Recovery Tribunal-II, Ernakulam. The Debt Recovery Appellate Tribunal, Chennai, has imposed certain conditions to waive the pre-deposit of the debt due for entertaining the Appeal filed by the petitioner as per Section 18 of the SARFAESI Act. The petitioner has filed WP(C).No.35424/2019 before this Court challenging Ext.P-8 which was admitted by this Court and was pleased to pass an interim order staying all further coercive proceedings against him on condition that the petitioner makes a remittance of Rupees Ten Lakhs to the 2nd respondent on or before 31.12.2019. The petitioner has complied with the above condition. When the above writ petition came up for final hearing, this Court observed that the writ petition ought to have been filed under Article 227 of the Constitution of India.

(2.) Heard Sri. N.Nandakumara Menon, learned senior counsel instructed by Smt.Smitha S.Pillai, learned counsel appearing for the petitioner and Sri.N.Dharmadan, learned senior counsel instructed by Smt.D.P.Renu, learned counsel appearing for R-2 (Kollam Co-operative Urban Bank Ltd.).

(3.) This Court is considering in this OP(DRT) only the limited issue as to the legality, correctness and propriety of impugned Ext.P-8 order dated 27.11.2019 rendered by the Debt Recovery Appellate Tribunal, Chennai, in AIR(SA) No. 330/2019 arising out of SA.No. 444/2018 on the file of the Debt Recovery Tribunal-II, Ernakulam. The petitioner had approached the Debt Recovery Appellate Tribunal, Chennai, in the abovementioned proceedings being aggrieved by the order dated 28.9.2019 rendered by the Debt Recovery Tribunal-II, Ernakulam by which the petitioner's application SA.No. 444/2018 has been dismissed in regard to the proceedings under Sec.14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act ('the SARFAESI Act' for short). The main issue that was considered by the Appellate Tribunal was regarding the plea of the petitioner for grant of waiver for requirement of pre-deposit in order to prosecute his appeal before the Appellate Tribunal, filed against the impugned decision of the Debt Recovery Tribunal-II, Ernakulam as per Ext.P-5 herein. The main plea of the petitioner was for grant of waiver of the requirement of pre-deposit for entertaining the appeal by the Debt Recovery Appellate Tribunal as envisaged in third proviso to Sec.18(1) of the SARFAESI Act.