MRITUNJAY SINGH Vs. UNION OF INDIA

JUDGEMENT

(1.) The present challenge is against a Look-Out Circular (LOC) issued against the petitioner. The petitioner is a Captain of the Merchant Navy and stays on the high seas for the most part of the year, since 2008.

(2.) The petitioner was a Director of Kaushik Global Logistic Limited (KGLL) between March 19, 2009 and July 11, 2012. The said company defaulted in repayment of a term loan availed from the State Bank of India (SBI), Alipore Branch, Kolkata. A criminal case was initiated by the Central Bureau of Investigation (CBI), in which the petitioner was one of the accused. The CBI Court, vide order dated July 22, 2016, discharged the writ petitioner on the finding that the petitioner was not involved in the day-to-day activities of the company and there was no material sufficient to establish, even prima facie, the charges against him.

(3.) The petitioner denies being a guarantor as per Form C5A dated February 7, 2013, when a fresh letter regarding grant of individual limits within the overall limit was issued by the guarantors for KGLL, which did not include the petitioner's name as a guarantor. It is the further case of the petitioner that the Bank has an award against the borrower-Company passed by the Debts Recovery Tribunal under the SARFAESI Act.