S S SHARMA Vs. DISTRICT COOPERATIVE BANK

JUDGEMENT

(1.) ORIGINAL Suit No.505 of 2013 was filed by the District Cooperative Bank, Dehradun seeking injunction for restraining the defendants no.1 to 10 from creating any third party interest in the property enumerated in the last two schedules of the plaint.

(2.) DEFENDANT nos.1 to 4 constituted two Cooperative Societies under the name and style of 'Khadi Gramodhyog Cooperative Society, Majra' and 'Cooperative Khukhri Manufacturing Industrial Committee at 129 old Dalanwala, Dehradun'. After taking a considerable loan from the District Cooperative Bank, Dehradun, they purchased the property, in question, way back in 1991 under an auction held by the Uttar Pradesh Financial Corporation. Such auction held on 25.02.1991 was challenged under the Suits bearing No.337 of 1991 and No.626 of 1998, by the successor -in -interest of the property, in question. The District Cooperative Bank also applied for being impleaded as party in those Suits but it was not permitted by the Court.

(3.) WITH the passage of time, the District Cooperative Bank referred the matter to the Arbitrator as per the provisions of the Uttar Pradesh Co -operative Societies Act, 1965, which later on became the Uttaranchal Co -operative Societies Act, 2003 and the Arbitrator rendered the impugned award, whereby, the amount sought as loan by defendant nos.1 to 4, is under recovery.