UNION BANK OF INDIA Vs. STATE OF HARYANA

JUDGEMENT

(1.) The present judgment shall dispose of two writ petitions i.e. CWP-15918-2021 and CWP-2536-2022. Challenge in CWP-2536-2022 filed by loanee is to the order dtd. 25/2/2021 passed by the Debt Recovery Tribunal-II, Chandigarh in SA-49-2021 (Annexure P-42) wherein, interim relief was not granted regarding the auction proceedings on the ground that no ex parte orders could be passed. It is only against the interim order of the DRT, the writ petition has been filed. The auction was apparently fixed for 18/1/2021, which was also subject matter of challenge and stated to be in complete violation of the earlier interim order dtd. 17/2/2021 passed by this Court in CWP-29435-2019 (Annexure P-40) wherein, the petitioner has been relegated to his alternative remedy before the Tribunal with a direction that the interim order will continue for one week. We have also been informed that SA No. 49 of 2021 has now been dismissed in default on 17/4/2023.

(2.) The bank, on the other hand in CWP-15918-2021, has challenged the orders passed by the District Magistrate, Panchkula wherein, the earlier order dtd. 24/12/2020 (Annexure P-22) passed under Sec. 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short 'the Act') giving possession to the secured creditor was sought to be recalled by passing interim orders dtd. 18/5/2021 and 28/5/2021 (Annexures P-23 and P-26 in CWP No. 15918 of 2021). The District Magistrate has also reviewed his earlier order dtd. 24/12/2020 by final order dtd. 29/10/2021 (Annexure P-54A). It has also been brought to our notice that earlier the loanee company i.e. Respondent No.5-M/s. Eee and Cee Pressing Pvt. Ltd. (in CWP No. 2536 of 2022) filed CWP No. 29435 of 2019, M/s. Eee and Cee Pressing Pvt. Ltd. vs. Corporation Bank and others and CWP No. 5056 of 2021, M/s. Eee and Cee Pressing Pvt. Ltd. and others vs. Union Bank of India and others wherein, they were relegated to avail their alternative remedy before the Debt Recovery Tribunal.

(3.) It is not disputed that the property has also been put to auction in two lots and sale certificates dtd. 12/3/2021 (Annexures P-11 and P-12 in CWP No.15918 of 2021) for Rs.7.42 crores and 7.04 crores have been issued. The outstandings as such due to the loanee-company were Rs.8,89,57,701.00 as per the Sec. 13(2) notice dtd. 4/7/2019 (Annexure P-11 in CWP No. 2536 of 2022), which is also subject matter of challenge in the said writ petition alongwith notice under Sec. 13(4) of the Act issued on 30/9/2019 (Annexure P-16). Apparently, the matter was pending with the Tribunal and matter had been withdrawn before two earlier Division Benches to approach the Tribunal. The Tribunal has been clothed with sufficient power under Sec. 17(3) of the Act wherein if any of the measures referred to in subsection (4) of Sec. 13, taken by the secured creditor are not in accordance with the provisions of this Act and the rules made thereunder, it can direct restoration of possession of the secured assets. The petitioners and their representatives having approached this Court twice over and have withdrawn the writ petitions and resultantly filed SA No. 49 of 2021. Repeated writ petitions by the same set of parties or by Directors of the same company are not liable to be entertained. Challenge in CWP No. 29435 of 2019 filed by the suspended Director of Eee and Cee Pressing Pvt. Ltd. and another is to proceedings under Sec. 13(2) and 13(4) of the Act and eventually, the writ petition was dismissed on 17/2/2021 by passing the following order:-