SELVA GANAPATHY RICE MILL Vs. DEPUTY GENERAL MANAGER

JUDGEMENT

(1.) THE writ petition has been filed under Article 226 of the Constitution of India, seeking an order in the nature of writ of Certiorari, calling for the records relating to the impugned order passed by the Debt Recovery Officer, Debt Recovery Tribunal, Coimbatore, third respondent herein, in his proceedings No.R.P.No.25/06 in DRC.No.24/06, dated 20.12.2006 and to quash the same.

(2.) THE brief facts of the case are as follows: THE petitioner is a partnership firm and the writ petition has been filed by its managing partner. THE petitioner firm running a rice mill in the name and style of M/s.Selva Ganapathy Rice Mill at Kangayam, Erode District. In order to improve the rice mill business, the firm approached the State Bank of India, Kangayam Branch and obtained loan by furnishing immovable property as security. Rs.10,50,000/- and Rs.5,00,000/- have been sanctioned towards the term loan and working capital.

(3.) LEARNED counsel for the respondents 1 and 2 submitted that the order has been passed on compromise memo filed by both the parties under Section 30 of the Debt Recovery Tribunal, which reads as follows: