PRAKASH CORPORATION Vs. STATE OF GUJARAT

JUDGEMENT

(1.) This petition is filed under Article 226 of the Constitution, in which, the petitioner has prayed for the following reliefs:

(2.) Heard learned advocate Mr.Devdip Brahmbhatt for the petitioner.

(3.) Learned advocate for the petitioner has referred the averments made in the memo of the petition and, thereafter, contended that the petitioner has participated in the E-auction of the secured assets being Survey Nos.383, 347/3 and 350 of Village Nani Kadi, Taluka Kadi, District Mehsana, whose original owner was M/s. Murlidhar Oil Mill and Ginning Factory. It is submitted E-auction notice was issued on 11.11.2020. It is contended that the partner of the petitioner Firm participated in the said Eauction process and the Firm paid 10% of the offered amount at the time of auction. The petitioner Firm purchased the said property for an amount of Rs.2,71,68,000/-. The petitioner has paid till date Rs.67,92,000/-. The balance amount of Rs.2,03,76,000/- was required to be paid with the respondent Bank within a period mentioned in the said notice. It is submitted at this stage that after participating in the said process, the petitioner checked the revenue record of the said property and it was found that there were two entries being Entry No.15661 dated 15.07.2015 and Entry No.18595 dated 22.09.2020 in the revenue record of the said property. As per the said entries, there are outstanding sales tax dues of the original owner of the subject property i.e. M/s. Murlidhar Oil Mill and Ginning Factory. At this stage, learned advocate for the petitioner pointed out that the petitioner issued legal notice dated 13.03.2021 to respondent No.4 Bank and requested to cancel the said entry. However, respondent No.4 Bank has given a reply and placed reliance of the provisions of Section 26(E) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 ("SARFAESI Act" for short). It is submitted that the petitioner is ready and willing to deposit the remaining amount of Rs.2,03,76,000/-. In spite of that, the respondent Bank has not accepted the said request of the petitioner.