M/s.Varunsaravana Textiles India Pvt. ltd & ors V/S SBI

IA 1471 /2011
 IN  
AIR (SA )959 /2011


(SA 228 /2011 on the file of DRT Madurai)

IA-1471/2011(delay) - Ld.  Counsel ShriPandurangan files vakalat on behalf of the Respondent. 

Ld.  Counsel Shri Balasubramanian appearing on behalf of the petitioner drew the attention of this tribunal to the averments made in the affidavit filed in support of the application and more particularly to paragraph 20 and stated that the delay has been properly explained.

 The Ld.  Counsel stated that the auction is scheduled on 5.12.2011 and that if the propertyis sold the petitioner would be put to great hardship.  

The Ld.  Counsel added that the value of the property is approximately four times the dues and if the auction is conducted some unscrupulous elements may knock away the property and that the same would cause great loss to the petitioner. 

 Ld.  Counsel stated that pending disposal of this IA interim orders of stay may be passed to protect the interests of the petitioner who is only interested and willing to settle the dues of the bank.  

The Ld. Counsel reiterated that the petitioner is ready and willing to settle the matter and is only praying for time with the bank for clearing all the dues by selling away its other properties.

Ld.  Counsel Shri Pandurangan appears on behalf of the respondent bank and filed counter setting out therein the details of the defaults committed by the petitioner and stated that the petitioner is not entitled to any relief from this tribunal more particularly when the application for condonation of delay of 38 days is pending. 

The Ld.  Counsel stated that the bank has taken lot of efforts to recover the public money and if the sale is stopped at this stage the bank would be put to great hardship and the recovery of the public money would be thwarted.  

The Ld.  Counsel prayed that no orders in the nature of interim orders restraining the bank be passed in this case. 

Heard the Ld.  Counsel.

This is an IA filed for condonation of delay of 38 days.  It is seen that the auction sale is to be conducted on 5.12.2011 and there is no time left for taking up the IA for disposal and there is also a need to protect the interest of the borrower who has categorically stated that it is settling the dues of the bank in an amicable manner soon and therefore this tribunal is driven to pass the following order:

“The petitioner is directed to pay a sum of Rs.50 lakhs into this tribunal on or before 31.1.2012.

The respondent bank may receive the tenders as notified but shall not open the same till6.2.2012 and shall also await the further orders of this Tribunal.

Call this IA for verification on 7.2.2012”.

The Hon'ble Chairperson of DRAT ,Chennai passed  this Order on 2nd Dec 2011