NARAYANASWAMY BOILED INDUSTRIES Vs. AUTHORIZED OFFICER ANDHRA BANK

JUDGEMENT

(1.) The present Writ Petition has been filed challenging the order passed by the Debt Recovery Appellate Tribunal, Chennai, dated 01.06.2017 in RA/SA No.47 of 2009, which is an appeal filed against the order dated 17.09.2017 passed in S.A.No.4 of 2007 by the Debt Recovery Tribunal-II, Chennai.

(2.) The brief facts, as stated by the petitioners in the affidavit filed in support of the writ petition, are that the petitioners borrowed a sum of Rs.1,09,00,000/- from Andhra Bank, Guntur, Andhra Pradesh, the first respondent herein, by offering six properties as security, in which, two properties have been released by the Bank themselves and the remaining four are held by the Bank. The petitioners claim that they had paid almost Rs.79,00,000/-. When the Bank issued recovery notice, during which time, the petitioners entered into an One Time Settlement to pay a sum of Rs.88,50,000/-, which the petitioners could not make and the properties offered by the petitioners as security, were brought for sale and auction was held on 03.04.2006, which was postponed, as there was no bidder.

(3.) The petitioners approached Debt Recovery Tribunal, Visakapattinam, Andhra Pradesh in S.A.No.133 of 2005, which was subsequently transferred to Debt Recovery Tribunal-II, Chennai and renumbered as S.A.No.4 of 2007, challenging 13(2) notice issued, dated 26.05.2005 and 13(4) notice issued, dated 23.11.2005, under the SARFAESI Act, as not maintainable. The Debt Recovery Tribunal, Chennai, in the re-numbered SARFAESI application in S.A.No.4 of 2007 passed a final order, dated 17.09.2007, dismissing the appeal and consequently dismissed I.As filed therein. The petitioners as against the order passed in S.A.No.4 of 2007, dated 17.09.2007 passed by the Debt Recovery Tribunal-II, Chennai, had filed an application in R.A. (S.A.) No.47 of 2007 before the Debt Recovery Appellate Tribunal, Chennai, which in turn by its order, dated 01.06.2017, confirmed the order passed by Debt Recovery Tribunal-II, Chennai, dated 17.09.2007. As against which, the present writ petition has been filed by the writ petitioners.