Arce Polymers Pvt. Ltd. vs M/S Alphine Pharmaceuticals Pvt. Ltd. on 3 December, 2021
Further, relying upon the decision of the Bombay High Court in
Blue Coast Hotels Limited v. IFCI Limited and Another,2 which
decision on challenge became the subject matter of the appeal
1 (2018) 15 SCC 99
2 2016 SCC OnLine Bom 2663
Civil Appeal a/o. of SLP (C) No. 5051 of 2020 & Anr. Page 14 of 28
and decision of this Court in ITC Ltd. (supra), the High Court held
that there is no specific provision or mandate under Section 13(3A)
of the SARFAESI Act that the representation of the Borrower to the
demand notice under Section 13(2) should be filed within a period
of sixty days from the date of notice. The impugned judgment also
refers to the letter dated 7 th November 2016 to observe that the
Chief Manager of the Bank had recommended deferring of action
under the SARFAESI Act with the intent that the unit running in the
Subject Property should be granted benefit of deferment of action.
The Bank had proceeded to issue possession notice on 3 rd March
2017 under Section 13(4) of the SARFAESI Act long after receipt
of the representations dated 1st/6th November 2016, but without
making any reference to the aforesaid representation. Accordingly,
on the first point, the High Court concluded that there had been a
violation by the Bank of its mandatory statutory duty under Section
13(3A) of the SARFAESI Act.