AI Structured Summary
Not yet generated for this judgment
Judgment
Ashok Menon, Chairperson
The matter is taken on board by way of praecipe filed on 26. 04.2022 by Appellants seeking urgent circulation.
Appellants have come up with this Appeal aggrieved by the impugned order dated 28.03.2022 in I.A. No. 265/2020 in S.A. No. 64/2022 on the file of D.R.T., Nagpur, wherein the Appellants had asked for stay of taking over possession of the secured assets. The Ld. D.R.T. had directed the Appellants to pay amounts in several installments as a condition for stay. Admittedly, first instalment of Rs.50,00,000/- was paid by the Appellants within the stipulated time, but the amounts directed to be paid later were defaulted and hence there was no subsequent stay. Consequently, the Bank is taking steps to take over the possession of the secured asset. Appellants state that they have got a good case on merits and since they have disputed the amount claimed they would be able to satisfy this Tribunal regarding the correctness of the amount demand by the Respondent in the notice, received u/s 13 (2) of the SARFAESI Act.
It will be too early to decide the correctness of the amount without hearing the main Appeal on merits. Even the D.R.T. has not decided the amount due. Appellants were granted stay by the D.R.T. on certain conditions which could not be fulfilled by them. However, for entertaining their Appeal, Appellants are required to make pre-deposit, as provided u/s 18 (1) of the SARFAESI Act. The Appellants are still to pay a total sum of over Rs.2 Crores after deducting the sum already paid. Therefore, Appellants are directed to deposit Rs.1 Crore in four equal installments of Rs.25 lakhs each spread over a period of two weeks each.
First installment of Rs.25 Lakhs shall be deposited on or before 12.05.2022, second installment of Rs.25 Lakhs shall be deposited on or before 26.05.2022, third installment of Rs.25 Lakhs shall be deposited on or before 09.06.2022 and fourth installment of Rs.25 Lakhs shall be deposited on or before 23. 06.2022.
The above amount shall be deposited in the form of a Demand Draft with the Registrar of this Tribunal.
On payment of the first instalment within the time stipulated, Appellant shall be entitled to stay of all further proceedings with regard to the action intended to be taken by the Bank. Failure to pay any of the above referred instalments, would entail in automatic dismissal of the Appeal.
As and when the said amounts are deposited, it shall be invested in term deposits in the name of Registrar, DRAT, Mumbai, with any nationalized bank, initially for a period of 13 months and thereafter it will be renewed periodically.
Post on 13.05.2022 for reporting compliance with regard to payment of the first installment.