Priya Tea Industries vs Indian Bank, Navashila Agro Private Limited and The Registrar, Debt Recovery Tribunal

M. Venugopal, J.—The revision petitioner/applicant/appellant has filed the present civil revision petition under Article 227 of Constitution of

India, praying this Court to direct the fourth respondent/Debt Recovery Tribunal, Coimbatore to dispose of I.A. No. 2156 of 2008 in S.A. No.

121 of 2008 pending on its file within the time framed to be fixed by this Court.

The revision petitioner/applicant/appellant has filed I.A. No. 2156 of 2008 in S.A. No. 121 of 2008 u/s 19(25) of the Debts Due to Banks and

Financial Institutions Act 1993 before the fourth respondent/Debt Recovery Tribunal praying for permission to deposit the sale amount and

subsequently stay the operation of sale certificate issued by the respondents 1 and 2 in favour of third respondent.

In the reply statement filed by the second respondent/Bank at paragraph 17, it is inter alia mentioned that'' there is no provision to remit the

auction amount and to set aside the sale which is already done under the provisions of the SARFAESI Act. The only provision available under the

Act is Section 13(8) which facilitates the borrowers to remit the entire dues on or before the sale. The petitioners have not availed the said

provision and thereby the petitioners cannot maintain the present application.''

It appears that I.A. No. 2156 of 2008 came up for hearing on 5.11.2008 before the fourth respondent/Tribunal and the same has since been

adjourned to 26.11.2008. It is to be borne in mind that the Securitisation and Reconstruction of Financial Assets and Enforcement of Security

Interest Act 2002 (54 of 2002) over rides the The Recovery of Debts Due to Banks and Financial Institutions Act 1993 (51 of 1993) in the

considered opinion of this Court. In short, the provisions of Securitisation and Reconstruction of Financial Assets and Enforcement of Security

Interest Act 2002 is a drastic one. Both the above said Acts provide for in built mechanisms in and by which the parties are to seek recourse in the

manner known to law and that the procedure cannot be derailed in any manner by any party.

Admittedly, the right of an appeal is a substantive right. The Appellate Tribunal certainly can exercise the power and authority of entertaining an

appeal against any order made or deemed to have been made by the Tribunal.

The grievance of the revision petitioner is that I.A. No. 2156 of 2008 in S.A. No. 121 of 2008 is to be taken up for hearing by the fourth

respondent/Tribunal and the same may be disposed of in accordance with law. No wonder the Securitisation and Reconstruction of Financial

Assets and Enforcement of Security Interest Act 2002(54 of 2002) and the The Recovery of Debts Due to Banks and Financial Institutions Act

1993 (51 of 1993)operate in their own fields. The learned counsel appearing for the revision petitioner brings to the notice of this Court that the

land is an agricultural land u/s 31 of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 (54 of

2002) and that the said ingredients of Section 31 of the said Act will not apply to the land of the civil revision petitioner in question.

Inasmuch as the prayer of the revision petitioner before this Court is only in regard to issuance of a direction by this Court to the fourth

respondent/Tribunal to dispose of I.A. No. 2156 of 2008 and since the Tribunal is guided by the principles of natural justice, this Court on the

basis of equity, fair play, and as a prudent and equitable course, directs the fourth respondent/Tribunal to take up I.A. No. 2156 of 2008 and to

dispose of the same within ten days from the date of receipt of a copy of this order. Liberty is given to the revision petitioner to raise all factual and

legal contentions which are available to it before the fourth respondent/Tribunal in the manner known to law. The revision petitioner is directed to

co-operate with the fourth respondent/Tribunal in regard to the completion of proceedings in I.A. No. 2156 of 2008.

The civil revision petition is disposed off in above terms. There shall be no order as to costs. Consequently, connected M.P. Nos. 1 of 2008

and 2 of 2008 are closed.