Document Fragment View

Matching Fragments

HON'BLE MR. JUSTICE S. RAVINDRA BHAT HON'BLE MR. JUSTICE S.P.GARG MR. JUSTICE S.RAVINDRA BHAT % C.M. APPL. 12159/2011 IN EFA (OS) 26/2011 For the reasons mentioned in the application, C.M. Appl. 12159/2011 is allowed.
EFA (OS) 23/2011 & C.M. APPL. 10277/2011 AND EFA (OS) 26/2011 EFA (OS) 23/11, C.M. APPL. 10277/11; EFA (OS) 26/11, C.M. APPL. 12158/11 Page 1
1. This common judgment would dispose of two appeals directed against a judgment and order of a learned single judge of this Court, dated 24-03-

2011 in EP No. 112/2010. The impugned judgment overruled the contentions of the appellant in EFA No. 23 of 2011, (hereafter "B.K.Modi") that execution proceedings were not barred in any manner, by operation of Section 22 of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereafter "SICA"). The second appeal (EFA 26/2011) is by Morgan Securities Ltd (hereafter "Morgan"); it claims to be aggrieved by a part of the same order, to the extent it excludes one of the properties of B.K. Modi, on the ground that it is a dwelling house (hereafter "the suit property") from execution proceedings.

EFA (OS) 23/11, C.M. APPL. 10277/11; EFA (OS) 26/11, C.M. APPL. 12158/11 Page 2

3. In the meanwhile on 17.05.2004, the Board for Industrial Finance and Reconstruction (BIFR) declared Modi Rubbers Ltd a sick industrial company under SICA and sanctioned a revival scheme 08.04.2008, which was challenged by the Morgan Securities before AAIFR. In respect of this award, objections under Section 34 of the Arbitration and Conciliation Act were filed by B.K. Modi, (OMP 277/2001) V.K. Modi (OMP 278/2004) and Modi Rubbers Pvt. Ltd (OMP 267/2001). The objections were dismissed by a Learned Single Judge by common order dated 21st October 2009. The three judgment debtors, i.e B.K. Modi, V.K Modi and Modi Rubbers Pvt. Ltd. filed appeals against this order. B.K Modi withdrew his appeal (FAO (OS) 39/2010) on 19th January 2010. The appeals of Modi Rubbers Pvt. Ltd. and V.K. Modi FAO (OS) 620/2009, were subsequently dismissed vide order dated 09.02.2010. Thus, B.K. Modi‟s liability as a judgment debtor to satisfy the decree and award attained finality, on 19-1-2010.

38. EFA (OS) No. 23/2011 is dismissed, but subject to the directions in the preceding paragraph. EFA (OS) No. 26/2011 is allowed.

S. RAVINDRA BHAT (JUDGE) S.P. GARG (JUDGE) MAY 23, 2012 EFA (OS) 23/11, C.M. APPL. 10277/11; EFA (OS) 26/11, C.M. APPL. 12158/11 Page 25