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Tripura High Court

Noting By Officer Or Serial Date Office ... vs Traders Engaged In The Business Of Stone ... on 20 December, 2017

Author: S. Talapatra

Bench: Chief Justice, S. Talapatra

                                                                                  W.P(C) No.1628 of 2017

Noting by Officer or   Serial    Date                  Office notes, reports, orders or
       Advocate         No                              Proceedings with signature



                                                                  BEFORE
                                                        HON‟BLE THE CHIEF JUSTICE
                                                    THE HON‟BLE MR. JUSTICE S. TALAPATRA

                                20.12.2017
                          (S. Talapatra, J)
                                                 The petitioner is the sole proprietor of M/S Maitri
                                          Traders engaged in the business of stone chips. She

                                          took a loan of `37,50,000/-[Rupees Thirty Seven

                                          thousand Fifty lacs] from the State Bank of India, the
                                          SBI in short, Agartala Branch. As a huge outstanding
                                          accrued on the loan account of the petitioner, the bank,
                                          hereinafter referred to as the creditor initiated a
                                          recovery proceeding in the Debt Recovery Tribunal,
                                          Guwahati being DRPC No.2366 for recovery of the total
                                          amount of Rs.65,09,827.59. It appears from the
                                          records that the Debt Recovery Tribunal in pursuance
                                          to their judgment dated 08.03.2017 delivered in the
                                          renumbered O.A. No.414 dated 08.03.2017, issued the
                                          recovery certificate in favour of the creditor for a sum
                                          of Rs.52,05,375.57/- against the petitioner and the
                                          guarantors with interest @13% p.a. with quarterly rest
                                          till   realisation.   While    passing     the   said   recovery
                                          certificate, the Debt Recovery Tribunal had also
                                          observed as under:
                                                 "The charge of the certificated amount be kept alive
                                                 on the mortgaged property being Land measuring
                                                 covered by C.S. Plot No.19883 (old) Khatian No.7317,
                                                 Mouza Agartala, Town sheet No-22, Tehsil Sadar West,
                                                 Revenue Holding No-48 and 59, Chandrapur West
                                                 Agartala situated near Rajarshi Motors, Agartala West
                                                 Tripura and standing in the name of the Defendants
                                                 No.3 arising out of the Registered Partition Deed
                                                 No.1-10775 dated 1.12.1974 and is bounded by-

                                                 East : Chittaranjan Majumder
                                                 West: Ananda Majumder
                                                 North: Road
                                                 South: Manoranjan Mazumder, described in Schedule
                                                 „B‟ annexed to the application till the amount is
                                                 realized in full, under the certificate.

                                                 The charge of the certificated amount be kept alive on
                                                 the mortgaged property being A Bhita/Tila land
                                                 measuring 2.60 Sataks out of total land measuring
                                                 3.23 Sataks covered by Dag No.487 and presently
                                                 1183, 1175, 1179, 1176, 1176/9287, Sabek 471,
                                                 480/part, Khatian No-426 of Touzi No.67, Mouza
                                                 Radha Kishore Nagar, Tahesil Khaerpur, Sub Registry
                                                 office-Sadar, Prgana- Agartala, P.S. Bodhjang Nagar,
                                                 West Tripura District under Sale Deed no- 1-2554




                                                                                                  Page 1 of 5
                                                                              W.P(C) No.1628 of 2017

Noting by Officer or   Serial   Date              Office notes, reports, orders or
       Advocate         No                         Proceedings with signature


                                            standing in the name of the Defendant No.4 and is
                                            bounded by-

                                            East : Govt. Land
                                            West: Manik Das
                                            North: Harimohan Das
                                            South: Vendors Land under separate Deed, described
                                            in Schedule „C‟ annexed to the application till the
                                            amount is realized in full, under the certificate.

                                            The charge of the certificated amount be kept alive on
                                            the mortgaged property being A Bhita/Tila land
                                            measuring 0.63 Sataks out of total land measuring
                                            0.63 Sataks out of total land measuring 3.23 Sataks
                                            covered by Dag No.487 and currently 1183, 1175,
                                            1179, 1176, 1176/9287, Sabek 471, 480/part, Khatian
                                            No-426 of Touzi No.67, Mouza Radha Kishore Nagar,
                                            Tahesil Khayerpur, Sub Registry office-Sadar,
                                            Pargana- Agartala, P.S. Bodhjang Nagar, West Tripura
                                            District under Sale Deed no-1-2554 standing in the
                                            name of the Defendant No.4 and is bounded by-

                                            East : Govt. Land
                                            West: Manik Das
                                            North: Vendors Land under separate Deed
                                            South: Manoranjan Seal, described in Schedule „D‟
                                            annexed to the application till the amount is realized
                                            in full, under the certificate"


                                            Pursuant to the said certificate, notice was issued
                                       under         Section            13(2)          of            the
                                       Securitisation and Reconstruction of Financial Assets
                                       and Enforcement of Security Interest Act, in short
                                       the SARFAESI Act, for vacating the secured assets, the
                                       landed property, description of which is provided in the
                                       said notice. It was clearly observed in the said notice
                                       that unless the determined amount is paid, the further
                                       action will follow in terms of the SARFAESI Act. But the
                                       petitioner did not deposit any amount. As a result, by a
                                       proceeding drawn under Section 14(1)(1) of the Act,
                                       the physical possession of the secured assets as
                                       described below was taken over by the authorised
                                       officer of the bank on preparing the due certificate:
                                            "Land & building situated at Chandrapur, Near
                                            Rajarshi Motors, P.O. Reshambagan, Agartala, Dist-
                                            West Tripura, vide Deed No.10775 dated 10.12.1974,
                                            Khatian No.34700, Dag No.1172/2184, Mouza-
                                            Agartala, Sheet No.22, Area-1930 sq.ft. in the name of
                                            Sri Sunil Chandra Mazumder."

                                            Having faced with that situation, the petitioner has
                                       approached this court by filing this writ petition and
                                       urged this court not to give effect of the letter dated




                                                                                             Page 2 of 5
                                                                              W.P(C) No.1628 of 2017

Noting by Officer or   Serial   Date              Office notes, reports, orders or
       Advocate         No                         Proceedings with signature



                                       12.09.2017, whereby one of the guarantors were given
                                       proposal for One Time Settlement [OTS in short] of
                                       non-performing assets in terms of the scheme as
                                       framed by the SBI. The petitioner's due to the bank-
                                       creditor was declared eligible for settlement under the
                                       said scheme on the following terms and conditions:
                                            "(i) Ledger outstanding (excluding accrued interest
                                            from the date of NPA) on 31.03.2017 : Rs.35,47,866/-.

                                            (ii) Amount of OTS: Rs.27,11,570/- [Amount
                                            recovered after 31.03.2017 will be adjusted against
                                            the OTS amount].

                                            (iii) Application for OTS will be processed only on
                                            deposit of minimum 5% (Rs.177393.0) of the Ledger
                                            outstanding as on 31.03.2017.

                                            (iv) 20% (Rs.542314.0) of the OTS amount will have
                                            to be deposited by you as upfront money within thirty
                                            days from the date of sanction of OTS. This would
                                            include the amount deposited by you alongwith the
                                            application.

                                            (v) The balance amount can be paid within 6
                                            months from the date of sanction of OTS (the validity
                                            period) together with interest @MCLR+2%, failing
                                            which the OTS sanction will be rendered infructuous.

                                            (vi) However, no interest will be charged, if the entire
                                            OTS amount is paid within 3 months from the date of
                                            sanction.

                                            (vii) You will be eligible for an additional incentive of
                                            10% discount on the OTS amount, on making
                                            payment of the entire OTS amount on or before
                                            31.12.2017."


                                            The noticee, the guarantor, namely Sunil Ch.
                                       Majumder was asked to communicate his willingness to
                                       settle the dues by payment of 5% of the outstanding
                                       as on 31.03.2017. It has been averred by the petitioner
                                       that as she did not have the money to deposit 5% of
                                       the outstanding as stated, no further progress could be
                                       made under the OTS. The petitioner has submitted
                                       further that the recovery certificate is outcome of the
                                       proceeding in the         Debt Recovery Tribunal. The
                                       respondents however, have clearly stated that the

petitioner was given ample opportunities to liquidate the outstanding. Even one of the guarantors who approached the bank was offered the OTS proposal under the designated scheme so that the drastic action Page 3 of 5 W.P(C) No.1628 of 2017 Noting by Officer or Serial Date Office notes, reports, orders or Advocate No Proceedings with signature of taking the physical possession of the land for purpose of auction for recovering the amount due on account of the petitioner could be avoided. But neither the petitioner nor the said guarantor came forward with any positive assurance by depositing 5% of the outstanding dues.

Mr. Somik Deb, learned counsel appearing for the petitioner has submitted that the petitioner is ready to pay 50% of the amount that has been offered by the letter dated 12.09.2017. For OTS, the amount was brought down to `27,11,570/- with a further clause that the amount recovered after 31.03.2017 will also be adjusted against the OTS amount. It is evident from the said letter dated 12.09.2017 that additional 10% discount on the OTS amount will be assured on making the payment of the entire OTS amount on or before 31.12.2017. The mode of payment has been clearly mentioned in the proposal made by the letter dated 12.09.2017. It is clear from the averments made in the writ petition by the petitioner that they did not accept the proposal by depositing the minimum 5% of the outstanding as on 31.03.2017.

The respondents however has clearly submitted that before taking the physical possession of the land on 12.12.2017 in terms of the certificate issued by the Debt Recovery Tribunal, the said offer of OTS was advanced but the petitioner or the guarantor as named above failed to take advantage of the said OTS. Finally, the authorised officer of the creditor-bank has taken over the physical possession following the due process of law.

Mr. A.L. Saha, learned counsel appearing for the respondents-bank has vehemently opposed the submission made by Mr. Deb, learned counsel appearing for the petitioner and stated that since the secured assets have been taken into physical Page 4 of 5 W.P(C) No.1628 of 2017 Noting by Officer or Serial Date Office notes, reports, orders or Advocate No Proceedings with signature possession by the bank in terms of the recovery certificate, the petitioner may not be given any further opportunity by stalling the process of recovery of the outstanding amount by auctioning out the secured assets.

We have perused all the records as produced with the writ petition as well as by the creditor-bank. Since Mr. Deb, learned counsel appearing for the petitioner has categorically submitted that the petitioner is ready to deposit 50% of the OTS amount, this court is of the view that since the OTS is a time bound programme this court cannot extend the OTS period. However, that aspect of the matter may later on be considered by us. Since in the circumstances of extreme urgency, the petitioner has approached this court, this court is of the view that if the petitioner deposits 50% of the sum of `35,47,866/- [the ledger outstanding as on 31.03.2017] on or before 08.01.2018, the bank authority, subject to final decision in this petition, shall hand over the possession back to the owner of the land. If no such amount is deposited, the respondents- bank may continue with their recovery proceeding in accordance with law. Further, if 50% of the amount as stated above is deposited by the petitioner or guarantor, the bank-respondents shall inform the court whether they can settle the due in terms of the OTS as proposed by the letter dated 12.09.2017, Annexure-3 to the writ petition, on the next date.

List this matter on 9th January, 2018.

                                                       JUDGE                     CHIEF JUSTICE




Sujay




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