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Judgment
Ashok Menon, Chairperson
The matter is taken up for hearing by way of a praecipe filed on 16.01.2024 by the Appellants for seeking urgent relief.
The Appellants are impugning the order of dismissal of the Securitisation Application (S.A.) No. 211 of 2022 on the files of the Debts Recovery Tribunal, Aurangabad. The Appellants have raised a number of challenges in Sarfaesi measures initiated by the Respondent financial institution under Sec. 17 of the Securitisation and Reconstruction of Financial Assets & Enforcement of Security Interest Act, 2002 (‘SARFAESI Act’, for short). It is also contended that the notice under Sec. 13(2) of the SARFAESI Act was not served on the Appellants.
The Respondents have not yet appeared despite being served notice.
The Appellants are challenging the Sarfaesi measures up to the taking over of the physical possession of the property under Sec. 14 of the SARFAESI Act. Under the circumstances, the Appellants will have to deposit 50% of the amount which is demanded as per 13(2) notice. The amount demanded under Sec. 13(2) is ₹5,56,190.41. The Appellants are directed to deposit a sum of ₹2.50 lakhs as pre-deposit by tomorrow i.e. 30.01.2024.
Default in payment of the aforesaid amount entails in dismissal of the appeal without any further reference to this Tribunal.
On deposit of the said amount, the taking over of the property scheduled on 31st instant shall stand stalled till the next date of hearing.
The amount shall be deposited as a Demand Draft with the Registrar of this Tribunal.
As and when the said amounts are deposited, they shall be invested in term deposits in the name of Registrar, DRAT, Mumbai, with any nationalised bank, initially for 13 months, and after that to be renewed periodically.
With these observations, the I.A. is disposed of. The Respondent is at liberty to file a reply in the Appeal with an advance copy to the other side.
Post on 31.01.2024 for reporting compliance regarding the payment.