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Calcutta High Court

Srei Equipment Finance Limited vs Mr. Vasu And Anr on 3 March, 2020

Author: Ashis Kumar Chakraborty

Bench: Ashis Kumar Chakraborty

O-26                             ORDER SHEET
                               A.P. No. 148 OF 2019

                          IN THE HIGH COURT AT CALCUTTA
                      Ordinary Original Civil Jurisdiction
                                  ORIGINAL SIDE


                         SREI EQUIPMENT FINANCE LIMITED

                                       Versus

                                  MR. VASU AND ANR.


   BEFORE:

   The Hon'ble JUSTICE ASHIS KUMAR CHAKRABORTY

   Date : 3rd March, 2020.

                                                          Appearance:
                                                    Mr. Swatarup Banerjee, Adv.
                                                    Ms. Khusboo Chowdhury, Adv.
                                                          ... for petitioner.



             The Court : This is an application under Section 9 of

the Arbitration & Conciliation Act, 1996 as amended by Act 3 of

2016.

        From the affidavit of service filed by the petitioner it

appears that in terms of the order dated January 22, 2020 the

petitioner     has   caused       publication     of       the    notice     of    this

application in the newspapers circulated in and around Karnataka.

However,      respondents     remain     unrepresented.           Accordingly,     this

application is taken up for hearing in the absence of the respondents.

The petitioner claims that in terms of an agreement dated July 29, 2014 (hereinafter referred to as "the said agreement") 2 the respondent no.1 obtained financial accommodation to acquire the asset mentioned in paragraph 5 of the petition which remains hypothecated to the petitioner. The respondent no.2, as the guarantor, is a party to the said agreement, which also contains an arbitration clause. According to the petitioner, the respondent no.1 has failed to pay the monthly instalments and as such as on October 26, 2015 Rs.1,10,09,129/- became due and owing by the respondent no.1 to the petitioner. In spite of demands the respondents have failed to pay the said outstanding dues. Thus, the petitioner has terminated the said agreement and filed this application for taking possession of the hypothecated asset through a Receiver.

Considering the materials on record, I find that the petitioner substantiated a case for appointment of a Receiver.

Accordingly, Mr. Rabindra Nath Basak, Advocate of Bar Library Club (First Floor) is appointed as the Receiver to take possession of the hypothecated asset mentioned in paragraph 5 of the petition presently lying at Tumkur, Karnataka.

The petitioner shall pay an initial remuneration of 4000 Gms. to the Receiver and shall also bear the travelling expenses of the Receiver, including air fare for his visit including air fare to the relevant place in the state of Karnataka. The petitioner shall provide the Receiver with a befitting accommodation at the relevant place.

3

Needless to mention that a competent officer of the petitioner shall all along accompany the Receiver in the state of Karnataka.

If necessary, the Receiver shall approach the Superintendent of Police of the concerned district for obtaining police assistance to implement this order. If the petitioner deposits the requisite fees with the concerned authorities, the Superintendent of Police of the concerned district shall render necessary police assistance to the Receiver to take actual physical possession of the hypothecated asset from the respondents.

The matter is made returnable on March 30, 2020. The Receiver shall file his report on the next date of hearing.

All parties, including the Receiver and the concerned police authorities shall act on the copy of the certified website copy of this order.

(ASHIS KUMAR CHAKRABORTY, J.) mg