NASCO STEEL PVT LTD Vs. STATE OF BIHAR

JUDGEMENT

(1.) Heard learned counsel for the parties,

(2.) The petitioner being aggrieved by the order dated 2-3-2000, contained in Annexure 4 and notice dated 16-3-2000, is before this Court.

(3.) Short facts leading to this application are that the petitioner M/s. Nasco Steel Pvt. Ltd., a private limited company, purchased certain properties from M/s. Bihar State Financial Corporation (BSFC). The properties originally belonged to M/s. National Aluminium & Steel Corporation Pvt. Ltd., who after taking substantial loan from the BSFC could not re-pay the same in time. It appears, probably an action under Section 29 of the State Financial Corporation Act was taken and the partners of M/s. National Aluminium & Steel Corporation Pvt. Ltd. agreed to sell the property whose consideration was shown at Rs. 4.33 lacs being cost of land and building. Description of the property was mentioned giving fullest detail in Schedules A, B, and C. Schedules A and B related to land and building while schedule C related to plant and machinery. It was agreed between the parties that the total sale consideration shall be equivalent to the total balance outstanding of the BSFC against the concern M/s. National Aluminium & Steel Corporation Pvt. Ltd. It is not in dispute that the total amount of loan outstanding against the defaulter debtor was Rs.17.14,210.35.