VINAYAK ARTS AND ORS Vs. BANK OF MAHARASHTRA

JUDGEMENT

(1.) This writ petition dated 4th October 2019 is directed against the order dated 1st October 2019 passed by the Presiding Officer, Debts Recovery Tribunal, Pune (hereafter "the DRT ", for short), refusing to grant ad-interim relief in connection with an application under section 17 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereafter "the SARFAESI Act " for short) presented by the petitioners. The impugned order records that the secured creditor, on 11th July 2019, had given opportunity to the petitioners to make payment by way of one-time settlement (OTS) under "Mahariyayat " scheme but they chose not to avail of such opportunity. It was also recorded that the secured creditor had taken symbolic possession of the secured asset on 2nd August 2018, whereupon the process for disposing of the secured asset by auction sale has been initiated.

(2.) In paragraph 10 of the writ petition, the petitioners have averred that the writ jurisdiction of this court was being invoked because the Debts Recovery Appellate Tribunal (DRAT) was then not available. However, in support of such pleading, the petitioners have not annexed to the writ petition any supporting documentary evidence. Such an omission assumes significance in view of the objection raised by the secured creditor as well as the auction purchaser (not impleaded as respondent despite direction made in this behalf by an order dated 22nd January 2020), which we propose to consider a little later.

(3.) We further find that a coordinate Bench of this Court, on 19th July 2021, had granted an opportunity to the petitioners to tender a payment of Rs.2,36,00,000/- to show their bona fides within three weeks from date without prejudice to their rights and contentions in respect of the pending dispute. This sum constituted the dues of the secured creditor. Instead of tendering payment, as directed, the petitioners applied on 8th July 2021 [I.A. No.1480 of 2021] seeking extension of time to make the requisite payment by 8 (eight) weeks. Resting on pendency of this application, the petitioners did not make any payment and, in the process, allowed the period of 8 weeks to lapse.