RAMCO SUPER LEATHERS LTD Vs. UCO BANK

JUDGEMENT

(1.) )

(2.) IN both these cases as common order dated 9th April, 2007, passed by the Debt Recovery Tribunal " II (hereinafter referred to as 'DRT'), Chennai, in S.A. Application No.158/07 is under challenge, they were heard together and are disposed of by this common judgment.

(3.) IN the meantime, the Bank, having taken possession of secured asset, issued sale notice on 24th Sept., 2005. It was not given effect due to interim stay, but stay having been vacated, the bank issued readvertisement on 13th March, 2007, fixing 16th April, 2007 as the date for re-auction. This time, the borrower preferred an application u/s 17 of the SARFAESI Act before the DRT, Chennai, registered as S.A. No.158/07. On the request of the borrower & guarantor " applicants, impugned conditional order was passed on 9th April, 2007. The Tribunal having noticed that there are two items for auction to the tune of Rs.8 Crores and 10% of such amount was fixed for depositing the earnest money, directed the borrower & guarantors " applicants to deposit a sum of Rs.60 lakhs to the bank within eight weeks and the bank was directed to defer the auction sale. Notice was also issued on the bank.