SUSHMA YADAV Vs. STATE OF U.P.

JUDGEMENT

(1.) The present writ petition has been filed against the notice dated 23.12.2018 (Annexure No. 6), issued under Rule 8 (1) of Security Interest (Enforcement) Rules, 2002 (hereinafter referred as Rules, 2002) published in the news paper Rashtriya Sahara, and notice dated 31.08.2018 (Annexure No. 4) issued under Section 13(4) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Act, 2002 (hereinafter referred as SARFAESI Act, 2002) read with Rules 8(1) of the Rules, 2002.

(2.) Briefly stated facts, as narrated in the writ petition, are that petitioner nos. 1 and 3 have taken a housing loan of Rs. 35 Lacs; Rs 18 Lacs as term loan and; Rs 33 Lacs against Cash Credit account from Bank of Maharashtra. Petitioner no. 2 along with one P.K. Yadav stood as guarantors. Petitioners No. 1 and 3 failed to adhere to the terms and conditions of loan and made defaults and accordingly the loan accounts were classified by the Bank as 'non performing asset' (NPA) on 9.1.2018 in accordance with the prescribed norms issued by the Reserve Bank of India.

(3.) Thereafter, the Bank-respondent issued a notice dated 19.2.2018 under Section 13(2) of the SARFAESI Act claiming total dues of Rs. 49,33,525/- plus unapplied interest w.e.f. 19.2.2018 and penal interest and other charges/expenses against Cash Credit of Rs. 33 Lacs and Term Loan of Rs. 18 Lacs. Further, by another notice dated 3.4.2018 under section 13(2) of the SARFAESI Act claimed Rs. 33,01,421/- plus unapplied interest thereon w.e.f 19.2.2018 and penal interest and other expenses/charges against Housing Loan was issued to the petitioners in the capacity of borrowers/guarantors. The borrower failed to make payment of the outstanding loan amount as demanded in the notice. Again a notice dated 31.08.2018 under Section 13(4) of the said Act read with Rule 8 (1) of the Rules 2002 was issued to the borrowers/guarantors. Thereafter a notice dated 21.12.2018 was published in newspaper Rashtriya Sahara informing the public in general, not to deal with the properties described therein as the respondent bank has taken possession of the property under the provisions of SARFAESI Act read with Rules. Hence, the present writ petition.