OM INDUSTRIES Vs. RAJASTHAN FINANCIAL CORPORATION

JUDGEMENT

(1.) Heard learned counsel for the parties.

(2.) The brief facts of the case are that a sick industrial unit M/s. Mundra Industries, F-119, Mandore Industrial Area, Jodhpur was put for auction as the said industry became defaulter in repayment of loan amount of the Rajasthan Financial Corporation (for short "RFC").

(3.) The petitioner gave its bid and that bid was accepted by the RFC. The approval letter was issued to the petitioner by RFC on 14/16-7-2003. The price of fixed assets was assessed as Rs. 24.01 lakhs and the petitioner was directed to make initial payment of Rs. 6.01 lakhs being 25% of the sale price within a period of 15 days from the sanction letter. The petitioner deposited the said amount of Rs. 6.01 lakhs in time. The petitioner was to pay balance amount of Rs. 18.06 lakhs within a. period of 5V1/2 years in 19 quarterly installment. The first installment was to fall due on first day of 12th month reckoned from the date of auction i.e. on 1-7-2004. Clause 4 further provides that the first 18 quarterly installments shall be of Rs. 95.000/- each and the last installment i.e. 19th installment shall be of Rs. 90.000/- falling due on 1-1- 2009.