ASSET RECONSTRUCTION COMPANY (INDIA) LIMITED, REPRESENTED BY ITS CHIEF MANAGER - LEGAL S SARAVANAN Vs. COMMERCIAL TAX OFFICER

JUDGEMENT

(1.) Heard Mr. Vijay Narayanan, Senior Counsel assisted by Mr.K.M.Aasim Shehzad learned counsel appearing for the petitioner and Mr.K.Venkatesh, learned Government Advocate appearing for the respondent.

(2.) The petitioner is an Asset Reconstruction Company and they have challenged an order passed by the first respondent, the Commercial Tax Officer, Alandur Assessment Circle, dated 26.02.2010, attaching the schedule mentioned property owned by the assessee in default namely, the third respondent. The petitioner has come forward with this writ petition contending that the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 has been amended by the Enforcement of Security Interest and Recovery of Debts Laws and Miscellaneous Provisions (Amendment) Act, 2016, by insertion of section 26E and by virtue of such amendment, the rights of secured creditors to realise secured debts due and payable to them by sale of assets over the security interest is created, shall have priority and shall be paid in priority over all other debts and the Government dues including revenue, taxes, cesses and rates due to the Central Government, State Government or local authority.

(3.) Prior to the amendment, as there was a divergent views, the matter was referred to a Full Bench in W.P.No.6267 of 2006 and W.P.No.253 of 2011, to answer the following issues:-