Madras High Court
Karur Vysya Bank Ltd vs The District Magistrate/District ... on 6 July, 2016
Author: Huluvadi G.Ramesh
Bench: Huluvadi G.Ramesh, M.V.Muralidaran
IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 06.07.2016 CORAM THE HONOURABLE MR.JUSTICE HULUVADI G.RAMESH AND THE HONOURABLE MR.JUSTICE M.V.MURALIDARAN W.P.Nos.23252 to 23255 of 2016 Karur Vysya Bank Ltd., 753, Trichy Road, Ramanathapuram Coimbatore 641 036 rep.by its Asst.General Manager Mr.L.Lakshmanan .. Petitioner in W.P.No.23252 of 2016 Karur Vysya Bank Ltd., 315, Kumaran Road Tirupur 641 601 rep.by its Chief Manager Mr.S.R.Mayakoothan .. Petitioner in W.P.No.23253 of 2016 Karur Vysya Bank Ltd., PN Road Branch 100/161, 60 Feet Road Junction PN Road Tirupur, Tamil Nadu 641 602 rep.by its Asst.General Manager .. Petitioner in W.P.No.23254 of 2016 The Karur Vysya Bank Ltd., 315, Kumaran Road Tirupur 641 601 rep.by its Chief Manager Mr.S.R.Mayakoothan .. Petitioner in W.P.No.23255 of 2016 -vs- The District Magistrate/District Collector Collectorate Building 220, V.H.Road, Opposite SBI Railway Station Gopalapuram Coimbatore 641 018 .. Respondent in W.P.No.23252 of 2016 The District Magistrate/District Collector Collectorate SH 96, Palayapalayam Erode 638 011 .. Respondent in W.P.No.23253 of 2016 The District Magistrate/District Collector Cotton Market Building Palladam Road Tirupur 641 604 .. Respondent in W.P.No.23254 of 2016 The District Magistrate/District Collector Cotton Market Building Palladam Road Tirupur 641 604 .. Respondent in W.P.No.23255 of 2016 W.P.No.23252 of 2016 is filed under Article 226 of the Constitution of India, praying for the issue of a Writ of Mandamus, directing the respondent to dispose of the petition filed under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 in C.M.P.No.4959/2015/ E3 and to pass appropriate orders to take physical possession of the secured assets morefully described in the Schedule hereto and deliver the physical possession of the Schedule property to the petitioner Bank within the time fixed by this Hon'ble Court. Schedule of the Property All that piece and parcel of land situated at Registration District of Coimbatore and Sub-Registration District of Singanallur, Coimbatore Taluk, Upplipalayam Village, an extent in S.F.Nos.624(part), 623/1 & 2, 629 in this dry Acre 6.76 and the same converted into house sites with formation of roads and the layout in the name of S N V Garden got approval in District Planning Authority vide No.402/1995 by director of Town Planning Authority, Chennai. In this layout, the site No.51, bound with the following boundaries and measurements: North of : Park Reserve Site South of : 23 feet East-West Layout Road East of : Site No.50 West of : Site No.52 measuring East to West on both sides 33'0 South to North on both sides 70'0 admeasuring 2310 sq.ft or 5 Cents 132 sq.ft with residential building with usual pathway rights to use the layout roads and all other appurtenances, the above site No.51 is situated in S.F.No.629 within the limits of Coimbatore Corporation. W.P.No.23253 of 2016 is filed under Article 226 of the Constitution of India, praying for the issue of a Writ of Mandamus, directing the respondent to dispose of the petition filed under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 in C.M.P.No.16260/15/E2 and to pass appropriate orders to take physical possession of the secured assets morefully described in the Schedule hereto and deliver the physical possession of the Schedule property to the petitioner Bank within the time fixed by this Hon'ble Court. Schedule of the Property Immovable Assets as per the title deeds bearing Nos.894/1982 & 786/1999 Erode District, Gobichettipalayam Registration District, Gobichettipalayam Joint-1, Sub Registration District, Gobichettipalayam Taluk, Veerapandi Village, Kaspa Gobichettipalayam Town, Gobichettipalayam Municipal Limit, Old Ward No.9, Natham Survey S.F.Nos.92, 88-Formerly Kamaraj Nadar Street bearing Door No.2, thereafter Door No.1, 1A and as per present assessment Vaikkal Street, Door Nos.85, 87, Asst No.5209 and 5210, R.C.C.Buildings having boundaries and extents, North of : Sanitary Lane South of : East to West Kamaraj Nadar Street East of : Property then belonged to Peruma Gounder and presently to M.Govindan and West of : South to North Vaikal Street measuring East-West on the North 4 feet, East-West on the South 56 feet, South-North on the East 96 feet and South-North on the West 79 feet, thus totalling 2625 sq.ft of vacant site together with RCC Buildings on the Ground and First Floor with Doors, Windows, Door frames, E.B.Service Connection, Wirings, water tap connetion, with mamool cart track rights etc. The property is within as per resurvey within ward B, Block 12, T.S.No.35. W.P.No.23254 of 2016 is filed under Article 226 of the Constitution of India, praying for the issue of a Writ of Mandamus, directing the respondent to dispose of the petition filed under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 in C.M.P.No.13509/2015/C3 and to pass appropriate orders to take physical possession of the secured assets morefully described in the Schedule hereto and deliver the physical possession of the Schedule property to the petitioner Bank within the time fixed by this Hon'ble Court. Schedule of the Property Tirupur Registration District, Tirupur Joint I Registration District, Tirupur Taluk, Tirupur Town Ward No.5, Thottipalayam Village, S.F.No.45, T.S.No.C/26/99 and 100, D.Nos.148/144, 150/143, 1700 sq.ft of land with RCC and tiled buildings. Boundaries North by the 'A' Schedule property of Mrs.A.Rajammal, South by the lands of Mr.Kumarasamy, East by South North Pitchampalayam Main Road, West by the lands of Nachimuthu, Amidst this, East West both sides 80 ft., South North both sides 21.3 ft Thus totally to an extent of 1700 sq.ft (157.93 sq.mtr) of land with RCC and tiled buildings with SC Connection No.759, including wiring fittings and 9 H.P.Motor Service No.760; Patta No.492 and corporation water connection No.52029, 2662 along with mamool pathway, appurtenances and attachments thereon. W.P.No.23255 of 2016 is filed under Article 226 of the Constitution of India, praying for the issue of a Writ of Mandamus, directing the respondent to dispose of the petition filed under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 in C.M.P.No.10653/C3/2015 and to pass appropriate orders to take physical possession of the secured assets morefully described in the Schedule hereto and deliver the physical possession of the Schedule property to the petitioner Bank within the time fixed by this Hon'ble Court. Schedule of the Property Schedule (A) Tirupur Registration District, Tirupur Jt-II Sub Registration District, Tirupur Taluk, 15, Velampalayam Village, S.F.No.445, Acres 8.39, in this tharam Rs.9.40, in this as per present Sub Division S.F.No.445/7, in this a portion of the property at Anupparpalayampudur, Saminathapuram 2nd Street, Ward No.10, Door No.21B, Assessment No.3716, having the following boundaries and extents: North of : S.F.No.459/460, East to West and Acre 0.10 cents belonging to Mr.R.Subbarayan East of : S.F.No.445/7, the land Acre 1.58 together with building belonging to Mr.R.Subbarayan South of : S.F.No.445/3 and 445/7, the other land comprised an extent of Acre 0.50 cents belonging to R.Subbarayan West of : S.F.No.444, South to North Road and Acre 0.10 Cents belonging to Mr.R.Subbarayan Within these boundaries and area measuring: East to West on the North-120 > feet from the Eastern extremity on this point towards South; South to North-184 = feet from the end of this point towards East; East to West-268 = feet from this point towards South; South to North-21 = feet from the end of this point towards West; East to West-62 < feet from the end of this point towards South; South to North-69 feet from the end of this point towards West; East to West-342 feet from the end of this point towards North; South to North-277 = feet. In this a cross extent of 52,272 sq.ft vacant site together with 2400 sq.ft ACC roof building, 1500 sq.ft MT roof building and all other appurtenances attached to the building with EB service connection No.57 with wirings, Town Panchayat water tap connection No.714 with meter etc. Further East of : Aforesaid property, South of : Acre 0.42 Cents belonging to Subbarayan West of : S.F.No.444, South to North Road North of : Acre 0.50 cents belonging to Subbarayan Within these boundaries and are measuring: South to North on the both sides : 23 feet, East to West on the North : 252 = feet East to West on the South : 256 = feet In this extent together with the right to take vehicles on the East to West tharam and also the right to get electricity service connection using through the said road, together with the right to lay telephone line, drainage water etc., the road in the SF.No.445/5, 445/6 on the Southern side on both sides, South to North-74 > feet on the North and West of the property described in the settlement belonging to Subbarayan, South to North-86 = feet, South to North on the East 78 > feet and 23 feet East to West Road in S.F.No.444 etc., and also the right to use 23 feet East to West Road etc. Schedule (B) Tirupur Registration District, Tirupur Joint-II Sub Registration District, Tirupur Taluk, 15, Velampalayam Village, S.F.No.445, Acre 8.39, in this tharam Rs.9.40, in this per present Sub Division S.F.No.445/7, in this a portion of the property at Anupparpalayampudur, Saminathapuram 2nd Street, Ward No.11, Door No.21B, Assessment No.11003286 having the following boundaries and extent North of : S.F.No.445/7, the share of property of S.Sivakumar, S/o R.Subbarayan East of : S.F.No.445/7, then belonging to R.Subbarayan South of : S.F.No.445/3 and 445/5 West of : S.F.No.444, South to North Cart track and also 23 feet wide East to West cart track Within these boundaries and are measuring: East to West on the North 120 > feet (36.80 meter), East to West on the South 127 < feet (38.80 meter), South to North on both sides 193 = feet (59.0 meter), thus totalling 23,994 sq.ft or Acre 0.55 cents of land and buildings, property to be taken physical possession Extent of land initially mortgaged as per Schedule (A) : 52,272 sq.ft Extent of land released later as per Schedule (B) : 23,994 sq.ft Extent of land to be enforced (Schedule (A) Schedule(B) : 28,278 sq.ft For Petitioners :: Mr.A.V.Radhakrishnan For Respondent :: Mr.P.S.Sivashanmugasundaram Special Government Pleader ORDER
(Order of the Court was delivered by HULUVADI G.RAMESH, J.) The petitioner-Bank in each of the writ petition has sought for issuance of a writ of mandamus, directing the District Magistrate/District Collector in each of the writ petition to dispose of the respective petition filed under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and to pass appropriate orders to take physical possession of the secured assets morefully described in the Schedule thereunder and deliver the physical possession of the Schedule property to each of the petitioner Bank within the time fixed by this Hon'ble Court.
2. Heard the learned counsel for the petitioner and the learned Special Government Pleader taking notice on behalf of the respondent in all the writ petitions.
3. Since a common prayer is made by the petitioner-Bank in all the writ petitions, for brevity, the facts leading to the filing of W.P.No.23252 of 2016 are alone referred to in this order. It appears that one M/s Shivani Infotech, a partnership firm represented by its partners Mr.V.Balachandran and Mrs.B.Sheji approached the petitioner Bank for financial assistance and considering their request, based on the loan agreement executed by the borrowers/guarantors as well as the schedule mentioned property being mortgaged by Mrs.B.Sheji, the guarantor, the Bank had sanctioned the following credit facilities as per the sanction letter dated 27.12.2012:-
S.No. Nature of Facility Limit (In Rs.) 1 SOD(RE) 1,50,00,000/-2
BG Limit 40,00,000/-
Thereafter, on the default committed by the borrowers in the repayment of dues, the account was classified as Non-Performing Asset by the petitioner-Bank and a notice of demand under Section 13(2) of the SARFAESI Act was issued on 5.8.2014 calling upon them to pay a sum of Rs.2,10,63,695.83/- as on 30.7.2014 with further interest and other charges thereon at the contractual rates from 31.7.2014 to the date of realization within sixty days from the receipt of the notice. Since the borrowers/guarantors did not take any steps to repay the dues within the statutory period of sixty days, the petitioner Bank was constrained to issue the possession notice under Section 13(4) of the SARFAESI Act on 15.10.2014 and also took symbolic possession of the property after publishing the possession notice in the English and vernacular language newspapers dated 20.10.2014, apart from sending the notice through registered post with acknowledgment due. Even after the receipt of the said possession notice, the borrowers/guarantors have failed to settle the dues to the Bank. Hence the petitioner Bank has moved a petition under Section 14 of the SARFAESI Act before the concerned District Magistrate/District Collector for taking physical possession of the property as mentioned in the writ petition as early as on 31.3.2015 and as the said petition is pending consideration, the petitioner Bank is before this Court seeking for a direction to the respondent to dispose of the petition in accordance with law at the earliest.
4. Considering the limited relief sought for in all the writ petitions, we direct the respondent-District Magistrate/District Collector concerned to dispose of the petition filed by the petitioner Bank under Section 14 of the SARFAESI Act for taking physical possession of the property, as mentioned in the respective writ petitions, within a period of two months from the date of receipt of a copy of this order, after affording opportunity to both the parties. The writ petitions are disposed of accordingly. No costs.
Index : yes/no (H.G.R.,J.) (M.V.M.,J.)
06.07.2016
ss
To
1. The District Magistrate/District Collector
Collectorate Building
220, V.H.Road, Opposite SBI Railway Station
Gopalapuram
Coimbatore 641 018
2. The District Magistrate/District Collector
Collectorate
SH-96, Palayapalayam
Erode 638 011
3. The District Magistrate/District Collector
Cotton Market Building
Palladam Road
Tirupur 641 604
4. The Asst.General Manager
Karur Vysya Bank Ltd.,
753, Trichy Road
Ramanathapuram
Coimbatore 641 036
5. The Chief Manager
Karur Vysya Bank Ltd.,
315, Kumaran Road
Tirupur 641 601
6. The Asst. General Manager
Karur Vysya Bank Ltd.,
PN Road Branch
100/161, 60 Feet Road Junction PN Road
Tirupur 641 602
HULUVADI G.RAMESH, J.
AND
M.V.MURALIDARAN, J.
ss
W.P.Nos.23252 to 23255 of 2016
06.07.2016