ICICI BANK LTD Vs. P VEERENDER CHORDIA

JUDGEMENT

(1.) One M/s. Adhilakshmi Oils Private Limited has availed financial assistance from the Petitioner Bank by way of a term loan facility to the tune of Rs. 498.76 lakhs, by creating a mortgage over the property in R.S. Nos. 322/A, 322/2B, 322/3 of Thirumangalam Usalia Road, Thummakundu Village, Usilampatti Taluk, Madurai District, measuring an extent of 11.90 acres together with superstructures, factory and building by depositing the title deeds in favour of the Petitioner/Bank. Thereafter, the said borrower company defaulted in repayment of the loan, leading to initiation of the proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short 'SARFAESI Act') by the Bank as against the borrower company.

(2.) Pursuant thereo, the Petitioner Bank had brought the above said property for sale on 'as is where is and what is where is' basis by and the Respondent approached the Petitioner Bank by his letter dated 23.9.2008 to purchase the said property and the Petitioner Bank by their letter dated 31.10.2008 has accepted the said offer of the Respondent and agreed to sell the property under private treaty. The sale consideration was fixed as Rs. 275 lakhs and the Respondent was directed to make a payment of Rs. 50 lakhs immediately and the balance amount of Rs. 225 lakhs to be paid on or before December, 31, 2008. Thereupon, a Memorandum of Understanding was signed by the Petitioner Bank, the Respondent purchaser and the borrower on 29.12.2008, whereby the Respondent has deposited the amount of Rs. 50 lakhs and the same was kept in a 'No lien account'.

(3.) From the materials placed on record it is seen that the Respondent, by their letter dated 31.12.2008, has requested extension of time till 24.1.2009, stating that the Chairman of their group has passed away. In the said letter, the Respondent has stated as follows: