M RAMAKRISHNAN Vs. DENA BANK

JUDGEMENT

(1.) THE petitioner (one of the borrowers) has challenged the conditional interim order of stay passed by the Debts Recovery Appellate Tribunal, Chennai in I. A. No. 1071 of 2007 in (SARFAESI) No. 663 of 2007, which reads as follows:

(2.) IT appears that the respondents-Dena Bank (hereinafter referred to as 'the Bank') issued notice on 13. 8. 2002 under Section 13 (2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short, 'the SARFAESI Act'), on the borrower (s), demanding a sum of Rs. 13,06,38,445/ -. Having failed to deposit the total amount, the Bank took steps under Section 13 (4) of the SARFAESI Act; the petitioner challenged the same in SARFAESI Appeal No. 117 of 2007 before the Debts Recovery Tribunal-II, Chennai, but having not been granted with an order of interim stay, the petitioner preferred an appeal under Section 18 of the SARFAESI Act before the Debts Recovery Appellate Tribunal, Chennai in IN (SARFAESI) No. 663 of 2007, wherein, the DRAT passed the aforesaid conditional order of interim stay on 27. 11. 2007.

(3.) ACCORDING to the petitioner, his sons have also independently challenged the action taken under Section 13 (4) of the SARFAESI Act in a separate appeal (application) under Section 17 of the SARFAESI Act, before the DRT. In their case also, no interim order having been granted, they also moved the DRAT, wherein, they have preferred I. A. No. 1060 of 2007 for interim relief. The DRAT, vide order dated 15. 10. 2007 in I. A. No. 1060 of 2007, directed the sons (of the petitioner) to deposit a sum of Rs. 9 crores and on such a direction, the sons have deposited Rs. 9 crores with the Bank in three spells, i. e. Rs. 4,50,00,000/- on 16. 11. 2007, Rs. 2,50,00,000/- on 18. 12. 2007 and Rs. 2,00,00,000/- on 17. 1. 2008.