AXIS BANK LIMITED Vs. ASSISTANT PROVIDENT FUND COMMISSIONER AND RECOVERY OFFICER EMPLOYEES PROVIDENT FUND ORGANISATION MINISTRY OF LABOUR,

JUDGEMENT

(1.) This writ petition has been filed praying to direct the first respondent from proceeding with the recovery proceedings, vide, its impugned notice, dtd. 1/2/2017, namely TN/SLM/90615/RECOVERY/8F/2016, issued in pursuance to the attachment order, dtd. 4/1/2016 and 21/1/2016 to the petitioner, for recovery of Rs.3,68,828.00, in the light of Full Bench judgment, dtd. 10/11/2016, made in W.P.No.2675 of 2011.

(2.) Brief facts which are necessary for the disposal of this writ petition are as follows:-

(3.) On the request made by the second respondent for Small and Medium Enterprises Loan (SME), upon scrutiny of necessary papers, the petitioner bank had sanctioned the loan to the tune of Rs.1,35,00,000.00 and executed the loan documents, on 14/3/2013, which was later defaulted and resulted in declaring the said account as Non-Performing Asset, on 31/3/2016. The total outstanding in the said SME account by the second respondent is Rs.1,51,31,011.43. The second respondent availed the Bank Guarantee facility from the petitioner to the tune of Rs.5,00,000.00, on 15/5/2022. The said Bank Guarantee was issued against 100% cash margin of the fixed deposit and the said deposit is under Bank 's lien which was created, on 14/5/2012.