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48. Some documents have been filed by the claimant
which were discussed in the foregoing paragraphs. A
careful scrutiny of all these documents does not prove
that the non-ceding of the pari passu charge by the
claimant was the sole reason for the banks to withdraw
their financing offer or for removal of MRI machines by
the Philips Electronic India Limited which had supplied
it. The relevant extract of the documents submitted by the
respondents have already been reproduced in the
foregoing paragraphs. R-2 at page 49 of the statement of
defence filed by the respondents shows that Axis Bank
had given loan of Rs. 200 lakh by opening L.C. for the
purchase of CT plus Simulator. For this the bank wanted
first charge of the fixed assets of the company ranking
pari passu charge with other terms „lender‟. It also
O.M.P.(COMM) No.17/2015 Page 11
wanted first hypothecation charge on the term assets of
the company both present and future. One of the
condition of the term loan was that drawdown of the
facility would be permitted only on completion of all
documentation formalities. Annexure I containing terms
and conditions of the term loan annexed with this letter,
as reproduced in the foregoing paragraph, shows that
pari passu charge was to be ceded by the TDB and IDBI
within three months from the date of disbursement of the
loan. The respondents have simply made allegations in
the statement of defence and also in the affidavit of the
respondent No. 2 that the withdrawal of the term loan
facility sanctioned by the Axis Bank was as a result of
non-ceding of pari passu charge over the properties of
the respondents by the claimant. It has not produced any
document from the bank that the term loan sanctioned by
opening L.C. etc. was withdrawn / cancelled because
TDB had refused to complete the documentation for
creation of pari passu charge over the hypothecated
properties in favour of the bank. Furthermore, IDBI
which had also given some loan to the respondents
initially was holding a pari passu charge over the
properties of the respondents hypothecated in favour of
the claimant. The Axis bank wanted both TDB and Axis
Bank to allow pari passu charge over the properties in
favour of Axis Bank. Not a word has been stated by the
respondents in the statement of defence or in the counter
claim nor has any document been filed which shows that
IDBI had granted and completed the documentation for
creating pari passu charge over the hypothecated /
mortgaged properties of the respondents in favour of Axis
Bank against the term loan sanctioned and disbursed by
It. The minutes of the lenders meeting dated 29.1.2008
(R-5) to the statement of defence shows that the
representative of Axis Bank had informed that the bank
had given loan of Rs. 500 lakh and Rs. 200 lakh for Linux
machine and accessories and CT Scan machine
respectively and that the account of the respondent with
O.M.P.(COMM) No.17/2015 Page 12
the bank was NPA (non-performance assest) with Axis
Bank and legal action was being taken against the
respondents. Furthermore, the representative of the bank
further wanted ceding of pari passu charge on the
respondents' assets for additional loan of Rs. 200 lakh
given to the respondents and the claimant was not
agreeable to the ceding of pari passu charge on
additional loan and the IDBI also did not agree to ceding
of pari passu charge on the additional loan. Further, the
representative of the Axis Bank agreed that if it was not
possible for the claimant or the IDBI to agree to pari
passu charge then they should give a clean chit to have
exclusive charge of Axis bank on the other bought out
with the advance of Rs.200 lakh, loan and both TDB and
IDBI agreed to consider the request and wanted the Axis
Bank to send relevant details of the assets bought to take
a decision on this matter. The minutes shows that Axis
Bank had undertaken to send the details of the assets
bought with the amount of the additional loan. From
these letters of the Axis Bank and the minutes of the
lenders meeting, discussed above, it is clear that the
claimant Board as well as IDBI both were holding pari
passu charge over the assets of the respondent No. 1 and
that for additional loan of Rs. 200 lakh sanctioned to the
respondent No. 1 by Axis Bank for acquiring additional
assets; CT Simulator the said bank wanted security by
way of extending pari passu charge of the Axis Bank with
the claimant and the IDBI. These documents further show
that loan of Rs. 500 lakh and Rs. 200 lakh for Linux
machine and accessories and CT Scan machine
respectively were taken earlier and further that the
account of the respondents with the Axis Bank in respect
of that loan was treated as NP A account. There is neither
any allegation from the respondents nor is there any
reference in the minutes or the letters of the Axis Bank
that the loan of Rs. 500 lakh and Rs. 200 lakh, referred to
in the minutes of the lenders meeting dated 29.1.2008 for
buying certain machines / equipments was also secured
O.M.P.(COMM) No.17/2015 Page 13
by extending pari passu charge over the assets of the
respondents by the claimant and the IDBI. It will also be
relevant to mention here that the cost of the project
envisaged when the loan agreement dated 30.8.2000 was
executed and the claimant sanctioned loan of Rs. 850
lakh was Rs. 1,750.11 lakh. Out of the total cost, the
amount of the finances arranged from other financial
institutions was Rs. 175 lakh. When the supplementary
agreement dated 5.5.2005 was executed between the
claimant and the respondent No. 1 the cost of the total
project was revised to Rs. 2,258 lakh and out of it the
claimant TDB had already disbursed the loan assistance
of Rs. 840 lakh. The IDBI had advanced loan of Rs. 75
lakh. The claimant had already taken loan of Rs. 200 lakh
from IDBI and Rs. 500 lakh from UTI Bank (Axis Bank).
There was unsecured loan of Rs.156 lakh. The loan
assistance of Rs. 200 lakh which the respondents further
wanted from the Axis Bank for purchasing CT Simulator
etc. appears to be far exceeding the cost of the project
and further diluted the security which secured the loan
assistance of the claimant. Anyway, the minutes of the
lenders meeting dated 29.1.2008 shows that the
representatives of the Axis Bank had submitted that if
pari passu charge was not possible to be ceded by the
claimant and the IDBI they could give clean chit to have
exclusive charge of Axis Bank the assets bought out from
Rs. 200 lakh loan sanctioned by the Axis Bank for CT
Simulator. Both the claimant as also the IDBI agreed to
consider this request after the relevant details of assets
bought from the additional loan were submitted by the
bank to them. The Axis bank agreed to send necessary
details of the assets which were to be bought with Rs. 200
lakh loan both to the claimant and the IDBI. There is no
allegation from the respondent nor is there any document
showing that the Axis bank had submitted the details of
the assets which were acquired with the additional loan
assistance of Rs. 200 lakh by the respondent No. 1 for
giving their 'No Objection' to the creation of exclusive
O.M.P.(COMM) No.17/2015 Page 14
charge of the said bank over the newly acquired assets.
There is also no allegation or any documentary proof to
show that TDB and / or IDBI bank had declined to accept
this request of the Axis bank. It is also pertinent to note
that both the claimant and the IDBI were not agreeable to
cede pari passu charge of the Axis bank to secure the
additional loan of Rs. 200 lakh sanctioned for the
purchase of CT Simulator. Therefore, blaming only the
claimant for putting hindrance in the completion of the
project will not be justified. No allegation has been made
that the claimant TDB could have extended the pari passu
charge, as requested by Axis Bank, without taking the
consent and 'No Objection' from IDBI bank. Therefore,
the contention of the respondents-No. 1,2 and 4 that the
claimant committed breach of the terms and conditions of
the loan agreement dated 30.8.2000 and the
supplementary loan agreement dated 5.5.2005 is devoid
of any force. It was not justified in blaming the claimant
for non completion of the project and non payment of the
loan instalments."