SHUBHAM FLOUR MILL Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) Heard learned counsel appearing for respective parties. Admit. Heard finally by consent.

(2.) The present application is preferred by applicants for quashing and setting aside the impugned order dtd. 26/9/2025 passed below Exh.5 in Criminal Revision No.113/2025 passed by learned Additional Sessions Judge, Akola and order dtd. 30/8/2025 passed by learned Additional Chief Judicial Magistrate, Akola in Criminal Case No.326/2025.

(3.) The applicants are proprietary concern and doing its business at Akola. Non-applicant No.2 is a financial institution (the bank). The applicants have obtained financial assistance from the bank in the nature of Term Loan-1 of Rs.14,28,521.60; Term Loan-2 of Rs.56,45,974.25; CECLS-1 of Rs.25,00,000.00; CECLS-3 of Rs.52,50,000.00, and OCC of Rs.7,50,00,000.00. Against the said loans, towards security for repayments of these loans equitable mortgage in 4 immovable properties was executed in favour of the bank. Three properties, which are subject-matter of the instant proceedings, include one residential plot at Akola and one property which includes three plots at Akot and one industrial plot with constructed factory at Akot. Whereas, fourth property is located at Nagpur. The bank has subsequently sanctioned ad-hoc cash credit limit of Rs.1,30,00,000.00 to the applicants on 31/5/2024. As the applicants failed to repay the said loan amounts, it was classified as "Non Performing Assets" (NPA) and the bank has issued a Demand Notice in view of Sec. 13(2) of The Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (the SARFAESI Act).