LAKSHMI ENERGY Vs. PUNJAB NATIONAL BANK

JUDGEMENT

(1.) Heard.

(2.) The learned senior counsel for petitioner contends that petitioner has taken certain loans from different banks, in which Punjab National Bank (hereinafter referred to as 'respondent No. 1 Bank') is lead bank. He is alleged to have defaulted in repayment of loan. Ultimately, Joint Lender's Forum (hereinafter referred to as 'respondent No. 3') allegedly entered into agreement with petitioner for restructuring loan. Since that restructuring agreement was allegedly not enforced, petitioner approached Delhi High Court, in which he lost his claim before Single Bench and against the order of Single Bench of Delhi High Court, he filed Letters Patent Appeal (LPA), in which judgment has been kept reserved. Now, pending decision in LPA before Delhi High Court, respondent No. 1-Bank, which is lead bank, has issued a notice dtd. 7/12/2018 (Annexure-P-1), vide which a show cause notice has been issued to petitioner as to why it For Subsequent ordersshould not be declared a 'Willful Defaulter' for the reasons mentioned therein. Petitioner has also submitted reply to said notice dtd. 13/12/2018 (Annexure-P-36).

(3.) The learned senior counsel for petitioner has referred to instructions dtd. 1/7/2015 (Annexure-P-39), issued by Reserve Bank of India (hereinafter referred to as 'respondent No. 2-RBI'), wherein Mechanism has been provided in Clause 3 for identification of willful defaulters. The learned senior counsel for petitioner has referred to Sub clause (a) of said clause, in which matter has to be examined by a Committee, headed by Executive Director or equivalent and consisting of two other senior officers of the rank of GMDGM. The plea of learned senior counsel for petitioner is that said procedure has not been followed by respondent No. 1-Bank. Further contention has been raised that without declaring him willful defaulter, accounts of petitioner have been freezed and his cheques are being dishonoured on account of lien by respondent No. 1 bank.