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Madras High Court

P.Bhuvaneswari vs M/S.Tamilnad Mercantile Bank Ltd on 23 September, 2019

Author: C.Saravanan

Bench: Vineet Kothari, C.Saravanan

                                                                        Order dt. 23.09.2019 in W.P.No.28074 of 2019
                                            P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors.



                                    IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                    DATED: 23.09.2019

                                                            CORAM :

                            THE HON'BLE DR.VINEET KOTHARI, ACTING CHIEF JUSTICE
                                                   AND
                                   THE HON'BLE MR.JUSTICE C.SARAVANAN

                                                   W.P.No.28074 of 2019


                      P.Bhuvaneswari                                                        .. Petitioner

                                                                -vs-


                      1.M/s.Tamilnad Mercantile Bank Ltd.,
                        rep. by its Manager,
                        Thiruvallur Branch,
                        No.120, J.N.Road,
                        Thiruvallur-602 001.

                      2.Authorised Officer,
                        M/s.Tamilnad Mercantile Bank Ltd.,
                        Thiruvallur Branch,
                        No.120, J.N.Road,
                        Thiruvallur-602 001.

                      3.The District Collector,
                        Chennai District,
                        Chennai-1.

                      4.The Tahsildar,
                        Ambattur,
                        Chennai District.                                                   .. Respondents


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                      Page 1 of 6


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                                                                         Order dt. 23.09.2019 in W.P.No.28074 of 2019
                                             P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors.



                              Petition filed under Article 226 of the Constitution of India
                      praying for issue of Writ of Certiorarified Mandamus calling for the
                      records pertaining to the impugned communication dated 14.12.2018
                      in    Ref.No.Che.Rgn.SARFAESI            Cors.104/2018-19             sent    by     the    2nd
                      respondent and quash the same so far as non-consideration of the
                      petitioner's One Time Settlement Proposal is concerned; consequently
                      direct the respondents 1 and 2 to re-consider the petitioner's OTS
                      proposal.


                                    For Petitioner                  : Mr.R.Neelakandan

                                    For Respondents                 : Mr.S.N.Parthasarathi
                                                                      Government Advocate
                                                                      for respondent Nos.3 and 4


                                                              ORDER

(Order of the Court was made by The Hon'ble Acting Chief Justice) The petitioner/borrower is aggrieved by the rejection of the One Time Settlement (OTS) proposal vide a communication dated 14.12.2018 issued by the first respondent Bank.

2. The petitioner, Mrs.P.Bhuvaneswari, had earlier approached this Court by way of W.P.No.33207 of 2018 (P.Bhuvaneswari v. __________ Page 2 of 6 http://www.judis.nic.in Order dt. 23.09.2019 in W.P.No.28074 of 2019 P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors. M/s.Tamilnad Mercantile Bank Ltd., rep. by its Manager, Thiruvallur Branch, No.20, J.N.Road, Thiruvallur-602 001 and another), which was disposed of by a Co-ordinate Bench of this Court on 17.12.2018 relegating the first respondent Bank for consideration of her OTS proposal. As far as the sale notice dated 30.11.2018 is concerned, it was held that the petitioner was to approach the Debts Recovery Tribunal under Section 17 of the Securitization and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002.

3. The petitioner, in her OTS proposal has offered to pay a sum of Rs.11,58,345.91 vide para 5 of her communication dated 06.12.2018 as against the outstanding dues of Rs.35,56,946.21. Meanwhile, the first respondent Bank again issued the sale notice dated 25.07.2019. In these circumstances, the petitioner has approached this Court. The auction for the said sale notice dated 25.07.2019 was to take place on 30.08.2019.

4. The learned counsel for the petitioner, Mr.R.Neelakandan, however, submits that the property has not been auctioned. __________ Page 3 of 6 http://www.judis.nic.in Order dt. 23.09.2019 in W.P.No.28074 of 2019 P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors.

5. Having heard the learned counsel for the petitioner, we direct the petitioner to deposit a sum of Rs.20.00 lakhs (Rupees Twenty Lakhs only) approximately 50% of the outstanding dues of Rs.40,71,081.21 as per the sale notice dated 25.07.2019 with the first respondent Bank within a period of two weeks from today and subject to further condition that auction in pursuance of the said sale notice has not taken place on 30.08.2019 as was represented today by the learned counsel for the petitioner. The first respondent Bank may consider the OTS proposal of the petitioner and dispose of the same in accordance with law. It is made clear that no extension of time shall be granted to the petitioner under any circumstances.

6. With the above observation and direction, the writ petition is disposed of. No costs. Consequently, W.M.P.No.27694 of 2019 is closed.

                                                                        (V.K.,ACJ.)         (C.S.N.,J.)
                                                                                  23.09.2019

                      Index         : Yes/No
                      bbr



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http://www.judis.nic.in

Order dt. 23.09.2019 in W.P.No.28074 of 2019 P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors. To:

1.The Manager, M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur Branch, No.120, J.N.Road, Thiruvallur-602 001.
2.The Authorised Officer, M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur Branch, No.120, J.N.Road, Thiruvallur-602 001.
3.The District Collector, Chennai District, Chennai-1.
4.The Tahsildar, Ambattur, Chennai District.

__________ Page 5 of 6 http://www.judis.nic.in Order dt. 23.09.2019 in W.P.No.28074 of 2019 P.Bhuvaneswari v. M/s.Tamilnad Mercantile Bank Ltd., Thiruvallur and Ors.

The Hon'ble Acting Chief Justice and C.Saravanan, J.

bbr W.P.No.28074 of 2019 23.09.2019 __________ Page 6 of 6 http://www.judis.nic.in