Search Results Page

Search Results

1 - 10 of 19 (0.36 seconds)

Union Of India (Uoi) vs Rampur Distillery And Chemical Co., ... on 20 February, 1973

13. The above shows that loan account for realization of which the sale was held was ultimately settled to the full satisfaction of respondent No. 1 by receiving the payment favouring the account of the borrower Sri. Jignesh N. Patel by third party Dr. Ramanuja and closed the account. Since payment has been accepted and loan account has been closed, respondent No. 1 cannot now say that it has suffered any loss or damages. If that is so, there is no justification on the part of respondent No. 1 in retaining the amount deposited by the petitioner in whose favour respondent No. 1 in any case was not in a position to pass full title on account of the borrower/mortgagor transferring the property in favour of Smt. Naina J. Patel. Respondent No. 1 has taken a position in the writ petition that since the assets were taken over by it under the provisions of SARFAESI Act, the gift deed executed by Sri. Jignesh N. Patel in favour of Smt. Naina J. Patel would not have any legal effect on the efficacy of sale and transfer of title in favour of highest bidder pursuant to sale notification dated 15.10.2010 (Annexure-A). The validity of such contention need not be gone into for two reasons namely, firstly, respondent No. 1 has settled the loan account with its borrower by making OTS proposal and accepting payment towards the account of the borrower Sri. Jignesh N. Patel on the premise of full and final settlement and once that is done the security given for the due payment of the loan gets released rendering it no more available for sale. Secondly, even if the contention of respondent No. 1 on the legal effect of sale under the SARFAESI Act is correct, the petitioner was justified in entertaining a doubt regarding the outcome of such a sale on passing title to him and on the said basis insisting upon respondent No. 2 to clear the title and withholding the balance sale price and in such a situation respondent No. 1 having settled the loan account with the borrower cannot mulct the further part consideration amount deposited by the petitioner. Since respondent No. 1 has not suffered any loss or damage, it is not entitled to retain the amount of Rs. 24,10,000/- deposited by the petitioner UNION OF INDIA v. RAMPUR DISTILLERY AND CHEMICAL CO. Ltd.
Supreme Court of India Cites 3 - Cited by 74 - Full Document

Ram Kishun vs The State Of Uttar Pradesh on 22 June, 2017

In a decision reported in Ram Kishun v. State of 5 U.P. , the Hon'ble Supreme Court in para 13 clearly held that while auctioning such property in such circumstances, the financial institution should not behave like property dealers; should act in a fair manner and in strict conformity with the statutory provision. Undoubtedly, public money should be recovered and recovery should be made expeditiously. But it does not mean that the financial institutions which are concerned only with the recovery of their loans, may be permitted to behave as they please and be permitted further to dispose of the secured assets in any unreasonable or arbitrary manner or in flagrant violation of the statutory provisions. In this case, in conclusion, it is held that the petitioner is entitled to relief for the reasons mentioned in paras 6 to 9 and in paras 16-17.
Supreme Court - Daily Orders Cites 0 - Cited by 11 - Full Document
1   2 Next