V RAMASWAMI NAIDU Vs. SYNDICATE BANK

JUDGEMENT

(1.) THE Syndicate Bank, which is the respondent in this appeal, obtained a decree against the appellants for payment of Rs. l,50,766-89 and costs, on a charge of 4000 shares in Pankaja Mills Ltd. , and 101 shares in Pioneer fertilisers Ltd. To execute the decree aforesaid, the Bank filed E. P. No. 380 of 1975 in the Sub-Court, Coimbatore, for attachment and sale of the judgment debtors properties. But the properties sought to be proceeded against in execution were not the joint stock company shares mentioned in the decree as a charge, but were quite different. They consisted of an item of immoveable property which was a cinema house called "central Theatre" and various item of machinery, furniture and fittings therein. The judgment-debtors resisted the execution. They submitted that the Bank should not be allowed to proceed against the Central Theatre before exhausting the remedy against the shares over which the decree had declared a charge.

(2.) THE learned Subordinate Judge took the view that for executing the decree in this case the decree holder was not restricted to the charged properties alone. According to the learned Subordinate Judge, the decree-holder was at liberty to proceed against any of the other properties of the judgment debtors, unless it was shown that the execution petition was mala fide. On the facts, he found no evidence of mala fides on the part of the Bank. He, accordingly, entertained the execution petition and posted it for settlement of proclamation of sale.

(3.) THE judgment-debtors have now come to this Court in appeal against the order of the learned Subordinate Judge. Mr. Vedantham, learned counsel appearing for the judgment-debtor reiterated before me the same contention as was advanced before the execution court.