ARVIND KUMAR GOEL, S/O LATE SURENDER KUMAR GOEL, AGED ABOUT 56 YEARS, OCC : BUSINESS, R/O 401, SAI PRAGATI TOWERS, HIMAYATNAGAR, HYDERABAD Vs. THE SUB DIVISIONAL CO

JUDGEMENT

(1.) The Writ Petition is filed seeking to issue a writ, order, or direction, more particularly one in the nature of writ of certiorari declaring the award in A.R.C.No.125/02/CUB/GD of the 1st Respondent, dated 31-07-2002 and as confirmed in CTA No.45 of 2004, dated 30-08-2004 and in R.P.No.5 of 2004, dated 01-09-2008 of the A.P. Cooperative Tribunal, Hyderabad, as illegal and arbitrary.

(2.) The case of the petitioner is that the third respondent herein represented by its Managing Director / Chief Executive Officer has filed A.R.C.No.125/02/CUB/GD before the 1st respondent against the petitioner and respondents 4 & 10 for recovery of loan amount of Rs.20,87,583.00 and also for interest and penal interest till the date of realization. The respondents 4 and 10 are members of the 3rd respondent Cooperative society. It is the case of the 3rd respondent that respondents 4 and 10 have applied to the 3rd respondent for sanction of term loan of Rs.10,00,000.00 (Rupees Ten Lakhs only) each and the same was sanctioned vide Sanction Letter, dated 10-11-2000 and the said amount is repayable in 36 monthly instalments together with interest @ 21% per annum and 2% penal interest in case of default of repayment. Respondents 4 to 7 alleged to have executed guarantee agreement for securing payment of loan advanced. The petitioner is stated to have pledged his landed property in Survey No.18/1, 24/p, situated at Rayannaguda Village, Shamshabad Mandal, R.R. District totally admeasuring Ac.5.08 guntas as collateral security by executing Memorandum of deposit of title deeds on 22-11-2000 for repayment of said loan amount obtained by respondents 4 and 10. The respondents 4 and 10 failed to repay the said term loan and 3rd respondent filed the A.R.C. before the 1st respondent for recovery of amount due to it.

(3.) It is the further case of the petitioner that before the 1st respondent the original borrower i.e., the 10th respondent herein remained ex parte and the respondents 6 to 9 are also set ex parte. The petitioner filed his written statement. The 1st respondent on the basis of the material placed before it i.e., Ex.P1 to Ex.P10 by order, dated 31-07-2002 ordered the defendants 1 to 8 to pay a sum of Rs.20,87,583.00 to the plaintiff-bank with interest @ 22% and penal interest from 19-02-2002 till the realization of the entire amount. Since the property of the petitioner is put to auction, the petitioner was compelled to pay award amount of Rs.40,72,500.00 to the 3rd respondent in order to protect his property. Thereafter, the petitioner filed C.T.A. No.45 of 2004 before the A.P. Cooperative Tribunal, Hyderabad challenging the award of the 1st respondent. The Honourable A.P. Cooperative Tribunal, Hyderabad, dismissed the appeal of the petitioner by its order, dated 30-08- 2004. Thereafter, the petitioner filed Review Petition in R.P.No.5 of 2004 and the same was also dismissed on 01-09-2008 by the Honourable A.P. Cooperative Tribunal, Hyderabad.