Deepak Kumar Data vs Stresssed Assets Stabilization Fund ... on 21 December, 2020

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Central Information Commission

Deepak Kumar Data vs Stresssed Assets Stabilization Fund ... on 21 December, 2020

1. The issues under consideration arising out of the second appeal dated 08.10.2018 include non-receipt of the following information raised by the appellant through his RTI application dated 05.06.2018 and first appeal dated nil:-

(i) All the papers of the relevant files relating to Offer for "One Time Settlement"

during the year 2005 and in 2006 given to M/s Deepak Vegpro (P) Ltd. (the company/DVPL) together with copy of note sheet relating to issue of the same.

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(ii) All the papers of the relevant files relating to "Offer for Assignment" made to M/s Deepak Vegpro (P) Ltd. relating to the company together with copy of note sheet relating to the proposal of assignment.

(iii) All the correspondence in the relevant files relating to "Offer for Assignment"

made by M/s Deepak Vegpro (P) Ltd., to IDBI after receipt of your above offer together with copy all reply given by your office.

(iv) Copy note sheet relating complete dealing of assignment with M/s Deepak Vegpro (P) Ltd. relating to the company.

(v) Copy of cash/bank voucher relating to payment received by IDBI with regard to assignment of the account to M/s Deepak Vegpro (P) Ltd.

2. Succinctly facts of the case are that the appellant filed an application dated 05.06.2018 under the Right to Information Act, 2005 (RTI Act) before the Central Public Information Officer (CPIO), Stressed Assets Stabilization Fund (SASF), Mumbai, seeking aforesaid information. The CPIO vide letter dated 12.07.2018 replied to the appellant. Dissatisfied with this, the appellant filed first appeal dated nil. The First Appellate Authority vide order dated 28.08.2018 disposed of the first appeal. Aggrieved by this, the appellant filed a second appeal dated 08.10.2018 before this Commission which is under consideration.

3. The appellant has filed the instant appeal dated 08.10.2018 inter alia on the grounds that reply given by the CPIO was not satisfactory. The appellant requested the Commission to direct the CPIO to provide the complete information and take necessary action as per Section 20 (1) of the RTI Act.

4. The CPIO vide letter dated 12.07.2018, provided letter dated 17.10.2005 conveying SASF's approval for settlement of dues and denied remaining information on the ground of commercial confidence and held by the respondent in fiduciary capacity, hence, it was exempted under section 8 (1) (d) & (e) of the RTI Act. The FAA vide his order dated 28.08.2018 furnished complete documents as sought on point no. 1 of the Page 2 of 5 RTI application except copy of note sheet and agreed with the views taken by the CPIO on point nos. 2 to 5 of the RTI application.

5. The appellant's advocate Rahul Khandelwal and on behalf of the respondent, Mrs. Meena Chandrasekhar, CPIO, Stressed Assets Stabilization Fund, Bandra attended the hearing through video conference.

5.1. The appellant's advocate while presenting the case inter alia submitted that appellant is the Director of M/s Shree Hari Agro Industries Ltd. (SHAIL), which had taken loan from the Industrial Development Bank of India (IDBI). He stated that the FAA has absolutely erred in not providing the information from point 1 to 5 of the RTI application, as nothing remains a secret between the SASF and Deepak Vegpro (P) Ltd. (DVPL) in regards to the information sought by the appellant. He stated that as per letter dated 20.03.2007, SASF has absolutely assigned the loan to the DVPL together with all underlying security interests thereto and all SASF rights, title and interest in all agreements, deed and documents, in connection with the sanction of the loan. Hence, not providing the information from point 1-5 of the RTI application is an absolute violation of law laid down. He further submitted that the respondent did not justify the denial of information as to how it was exempted under section 8 (1) (d) & (e) of the RTI Act. He stated that the appellant being a director of the company, he was entitled for the information.

5.2. The respondent while defending their case inter alia submitted that the appellant was director of the SHAIL which had availed loan facilities of Rs. 450 lakhs in 1996 from erstwhile IDBI for setting up of edible oil refinery and solvent extraction plant in Khedi District in Jaipur. SHAIL failed to repay the said loans to IDBI and hence account turned into NPA. The said loan facilities were subsequently transferred to the respondent/SASF in September 2004 by IDBI. SHAIL had vide letter dated 11.07.2005 requested to SASF for settlement of its dues under "One Time Settlement (hereinafter referred as OTS)". The respondent had approved OTS vide letter dated 17.10.2005. However, SHAIL again failed to pay the dues even under the said OTS and SASF Page 3 of 5 revoked the said OTS vide letter dated 29.08.2006. The said letter dated 29.08.2006 revoking the OTS had been given to the appellant.

5.3. The respondent (SASF) subsequently decided to assign the said loan facilities to Deepak Vegpro (P) Ltd. (DVPL) against certain consideration. SHAIL was informed by SASF about the said assignment to DVPL vide letter dated 20.03.2007. Accordingly, DVPL has become eligible and entitled to exercise all the rights of recovery against SHAIL to recover the said debt. Assignment of debt by SASF to DVPL was a bipartite transaction and SHAIL was not a party to the said transaction. There is a third-party interest (of DVPL) on the information /records available with SASF in regards to assignment of debt by SASF to DVPL.

5.4. The respondent further submitted that letter dated 19.10.2005 conveying SASF's approval for settlement of dues and letter of revocation of OTS dated 29.08.2006 were provided to the appellant. Since the debt was assigned to DVPL in 2007 and SASF was not in a position to trace the other correspondence. Further, assignment of debt in favour of DVPL was informed to SHAIL vide SASF's letter dated 20.03.2007. They further submitted that copy of the note sheet relating to the assignment contain information which if shared would affect the competitive position of SASF as well as that of DVPL. Moreover, SASF was holding this information in fiduciary capacity as assignor to DVPL. Hence the information sought was exempted under section 8(l)(d) &(e) of RTI Act, 2005.

6. The Commission after adverting to the facts and circumstances of the case, hearing both parties and perusal of records, observes that point-wise reply had already been given by the respondent vide their letters dated 12.07.2018 and 28.08.2018. It is noted that copy of letter dated 17.10.2005 conveying approval of SASF to the proposal of OTS was given to the appellant. The appellant during the course of hearing submitted that being a director of the company he was entitled for the information. However, it is pertinent to mention that the appellant was director of SHAIL who had not repaid the loan taken from IDBI bank. The bank had made several efforts for OTS and informed the appellant accordingly, but the appellant failed to pay the dues even under OTS.

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Subsequently, the loan facility was transferred to SASF in the year 2004 and SASF, later on, transferred it to DVPL vide letter dated 20.03.2007. Therefore, disclosure of copy of the note sheet relating to the assignment of NPA loan account would affect the competitive position of SASF as well as of DVPL. Moreover, SASF was holding this information in fiduciary capacity as assignor to DVPL. Hence, the Commission feels that the information sought was denied by the respondent under the provisions of section 8(l)(d) &(e) of RTI Act, 2005. Further, there appears to be no public interest in further prolonging the matter. Accordingly, the appeal is dismissed.

Copy of the decision be provided free of cost to the parties.

Sd/-

(Suresh Chandra) (सुसुरेशचं ा) ा सूचनाआयु ) Information Commissioner (सू दनांक/Date: 21.12.2020 Authenticated true copy R. Sitarama Murthy (आर. सीताराममूत#) Dy. Registrar (उपपंजीयक) 011-26181927(०११-२६१८१९२७) Addresses of the parties:

CPIO :

STRESSED ASSETS STABILIZATION FUND 5th Floor, IDBI Tower, WTCComplex, Cuffe Parade, Mumbai- 400 005 THE F.A.A, Stressed Assets StabilizationFund, 3RDFloor, IDBI Tower, WTC Complex, Cuffe Parade,Mumbai -400 005 Deepak Kumar Data Page 5 of 5

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