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[Cites 2, Cited by 0]

Madras High Court

M/S.Kmp Spinners Limited vs The Debts Recovery Tribunal on 8 June, 2020

Bench: Vineet Kothari, R.Suresh Kumar

                                                                       Order dt.8.6.2020 in WP No.8077/2020
                                                                    [KMP Spinners Pvt. Ltd. v. DRT & another]
                                                           1/5

                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                   DATED: 8.6.2020

                                                        CORAM

                                  THE HON'BLE DR.JUSTICE VINEET KOTHARI
                                                   AND
                                  THE HON'BLE MR.JUSTICE R.SURESH KUMAR

                                            Writ Petition No.8077 of 2020
                                                          and
                                           W.M.P.Nos.9574 & 9575 of 2020


                      M/s.KMP Spinners Limited,
                      S.F.No.299/7, Paraikkadu,
                      Chinnarampalayam,
                      Elanthakuttai Privu, Veppandi Post,
                      Tiruchengode Taluk, Erode 638 008.
                      rep. by its Authorised Signatory
                      Mr.K.M.Panneerselvam                                         Petitioner
                                                            Vs.

                      1. The Debts Recovery Tribunal,
                         2nd and 3rd Floors, Jawans Bhavan,
                         27, T.B.Road, Coimbatore 641 018.

                      2. The Authorised Officer,
                         M/s.Indian Overseas Bank,
                         Erode Main Branch,
                         12 APT Road, Sathy Road,
                         Park Road Junction, Erode 638 003.                        Respondents

                                Petition under Article 226 of the Constitution of India praying for
                      a Writ of certiorarified mandamus calling upon the 2nd Respondent to (1)
                      Quash the Sale Notice dated 20.1.2020 and set aside the Sale of the
                      properties in the E-auction conducted on 26.2.2020; (2) direct the 2nd
                      Respondent to substitute the new Investor Mr.Rajendran Kumaraswamy
                      in the place of the alleged third party purchaser and register the sale in
                      favour of the said new Investor without creating any hassles or demur or
                      delay.

http://www.judis.nic.in
                                                                         Order dt.8.6.2020 in WP No.8077/2020
                                                                      [KMP Spinners Pvt. Ltd. v. DRT & another]
                                                               2/5



                      For Writ Petitioner           : M/s.M.G.Pranava Charan

                                                       ORDER

(Made by Dr.Vineet Kothari,J) The Petition seeking to dispense with the production of the Certified Copy of the Sale Notice dated 20.1.2020 is ordered.

2. The Borrwer M/s.KMP Spinners Private Limited, Erode has filed this Writ Petition under the SARFAESI Act, 2002 seeking to restraint on the Authroised Officer of the Indian Overseas Bank not to issue the Sale Certificate in favour of the auction purchaser, who has not been impleaded in the present Petition.

3. The Sale Notice has been issued by the Respondent-Bank on 20.1.2020 and 3.3.2020 after the possession of the property in question was taken on 27.12.2019.

4. The learned counsel for the Petitioner Mr.M.G.Pranava Charan has submitted that the case filed by the Petitioner before the Debts Recovery Tribunal, Coimbatore was numbered as 128/2020 and is pending in the said Tribunal and the Madurai Bench of Debts Recovery Tribunal has the jurisdiction over the Coimbatore cases, but, the said Tribunal is not effectively functioning and that is why the present Writ Petition has been filed in this court.

5. The Writ Petition was heard through Video Conferencing in http://www.judis.nic.in Order dt.8.6.2020 in WP No.8077/2020 [KMP Spinners Pvt. Ltd. v. DRT & another] 3/5 view of the urgency mentioned.

6. The learned counsel for the Petitioner has also drawn our attention to a General Notice issued by the Debts Recovery Tribunal, Coimbatore on 3.5.2020 where it is mentioned that only urgent cases which may be heard through Video Conferencing only with the permission of the Presiding Officer and in case of any difficulty to contact one Mr.Ranjit, Section Officer (9446039001) as given in the said Notice. The learned counsel for the Petitioner also submitted that some Banks also have recently approached the Hon'ble Supreme Court with the case that the Benches of Debts Recovery Tribunals are not functioning properly.

7. Having heard the learned counsel for the Petitioner, we are of the opinion that we cannot interfere in the present Writ Petition at this stage because for the same grievance raised before us, the Petitioner has already filed the proceedings before the Debts Recovery Tribunal, Coimbatore, which is the proper forum to hear the said case, in Case No.128 of 2020 and the same is pending and so far as the urgent hearing of the case by the Debts Recovery Tribunal, Coimbatore is concerned, the same can be taken care by a direction to the learned Tribunal to hear the urgent cases in terms of its Notice dated 3.5.2.2020.

8. Therefore, we give liberty to the Petitioner to approach the said Debts Recovery Tribunal, Coimbatore and we expect that the said http://www.judis.nic.in Order dt.8.6.2020 in WP No.8077/2020 [KMP Spinners Pvt. Ltd. v. DRT & another] 4/5 Tribunal will hear the said case of the Petitioner expeditiously by giving opportunity of hearing to the other affected parties concerned.

9. With these observations, we dispose of this Writ Petition with a request to the Debts Recovery Tribunal, Coimbatore to take up the matters and pass appropriate orders after giving opportunity of hearing to the parties concerned. Consequently, the connected Miscellaneous Petition is also closed.

(V.K.J.) (R.S.K.J.) 8.6.2020 ssk Index: Yes/No. Internet: Yes/No. Note to office: Issue today.

To

1. The Debts Recovery Tribunal, 2nd and 3rd Floors, Jawans Bhavan, 27, T.B.Road, Coimbatore 641 018.

2. The Authorised Officer, M/s.Indian Overseas Bank, Erode Main Branch, 12 APT Road, Sathy Road, Park Road Junction, Erode 638 003.

3. M/s.KMP Spinners Limited, S.F.No.299/7, Paraikkadu, Chinnarampalayam, Elanthakuttai Privu, Veppandi Post, Tiruchengode Taluk, Erode 638 008.

rep. by its Authorised Signatory Mr.K.M.Panneerselvam http://www.judis.nic.in Order dt.8.6.2020 in WP No.8077/2020 [KMP Spinners Pvt. Ltd. v. DRT & another] 5/5 Dr.VINEET KOTHARI, J.

and R.SURESH KUMAR, J.

ssk.

Writ Petition No.8077 of 2020 and W.M.P.Nos.9574 & 9575 of 2020 8.6.2020 http://www.judis.nic.in