Madras High Court
Sri Siva Sakthi Modern Rice Mill vs The Managing Director on 4 July, 2022
Author: C.Saravanan
Bench: C.Saravanan
W.P.No.22952 of 2017
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 04.07.2022
CORAM
THE HONOURABLE MR.JUSTICE C.SARAVANAN
W.P.No.22952 of 2017
and
W.M.P.No.24098 of 2017
1.Sri Siva Sakthi Modern Rice Mill,
No.37, Sri Prasanna Venkatesa Perumal
Koil Street, Ekkadu Kandigai,
Thiruvallur District - 602 021.
2.C.S.Dharaneeswara Rao,
Sole Proprietor,
Sri Siva Sakthi Modern Rice Mill,
No.37, Sri Prasanna Venkatesa Perumal
Koil Street, Ekkadu Kandigai,
Thiruvallur District - 602 021. ... Petitioners
Vs
1.The Managing Director,
Tamil Nadu Industrial Investment Corporation,
(TIIC) Anna Salai,
Nandanam, Chennai - 600 035.
2.The Regional Manager,
Tamil Nadu Industrial Investment Corporation,
(TIIC) Anna Salai,
Nandanam, Chennai - 600 035.
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W.P.No.22952 of 2017
3.The Branch Manager,
Tamil Nadu Industrial Investment Corporation,
(TIIC), Thiruvallur Branch,
IInd Main Road,
Ambattur Industrial Estate,
Chennai - 600 058. ... Respondents
Prayer: Petition filed under Article 226 of the Constitution of India to
issue a Writ of Certiorari, calling for the records connected with the
Demand Notice Reference No.26257664 dated 31.07.2017 issued dated
31.07.2017 by the third respondent and quash the same.
For Petitioners : Mr.M.Sankar
For Respondents : Mr.K.Magesh
ORDER
The petitioner appears to have availed a term loan and working capital loan from the respondents in the year 2008-2009 for a total sum of Rs.63,50,000/-.
2. It is the case of the petitioner that on account of several factors, the petitioner was unable to pay the loan in time. It is submitted that as on 28.11.2016, the petitioner had discharged and had paid a sum of Rs.32,00,000/- and thereafter the petitioner had paid another sum of https://www.mhc.tn.gov.in/judis 2/6 W.P.No.22952 of 2017 Rs.11,40,000/- and a sum of Rs.25,000/- as fees for One-Time Settlement (OTS). However, the respondents are failed to consider the same. It is further submitted that on 31.07.2017, the third respondent issued a demand notice demanded a sum of Rs.51,47,982/- being the outstanding due on that date, the Principals, Interest and Penal Interest etc. It is further submitted that on 09.01.2022, during the pendency of the present writ petition, the petitioner had paid another sum of Rs.10,80,000/- and a further sum of Rs.50,156/- on 19.01.2022 towards fees for OTS for the second time. It is submitted that the petitioner is willing to settle the amount under the OTS Scheme as are available.
3. The learned counsel for the respondents on the other hand would submit that as on 28.02.2022, the total outstanding amount from the petitioner was Rs.1,07,47,000/- and that on 31.05.2022, the petitioner's request for OTS was rejected on 28.02.2022. It is further submitted that the petitioner has registered profits in their books of accounts. It is therefore submitted that the petitioner is not entitled for OTS any more and therefore the present writ petition is liable to be dismissed.
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4. I have considered the arguments advanced by the learned counsel for the petitioner and the learned counsel for the respondents and perused the counter affidavit filed by the respondents.
5. The petitioner has merely challenged the demand notice dated 31.07.2017 demanding a sum of Rs.51,47,982/- from the petitioner. During the pendency of the present writ petition, the petitioner appears to have paid only a sum of Rs.10,80,000/- on 09.01.2022. Thus, there is no merits in the present writ petition. That apart, the petitioner appears to have registered profits in their books of accounts and it is in a position to liquidate the liability to the respondents. In any event, there is a commercial dispute between the petitioner and the respondents and therefore it is open for the petitioner to workout a suitable remedy against the order rejecting the OTS application of the petitioner dated 19.01.2022.
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6. This Writ Petition stands disposed of with the above observations. No costs. Consequently, connected Writ Miscellaneous Petition is closed.
04.07.2022 Index : Yes/ No Internet : Yes/No Speaking/Non-Speaking Order arb To
1.The Managing Director, Tamil Nadu Industrial Investment Corporation, (TIIC) Anna Salai, Nandanam, Chennai - 600 035.
2.The Regional Manager, Tamil Nadu Industrial Investment Corporation, (TIIC) Anna Salai, Nandanam, Chennai - 600 035.
3.The Branch Manager, Tamil Nadu Industrial Investment Corporation, (TIIC), Thiruvallur Branch, IInd Main Road, Ambattur Industrial Estate, Chennai - 600 058.
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