The petitioner is a co-borrower in respect of the loan availed for the purpose of some business, dealing with electronic equipments. The facility was availed under a special scheme. Admittedly, there occurred some default in the matter of satisfaction of the liability to the respondent Bank. The Bank approached the DRT by filing O.A. No.82/2008, which is stated as pending. According to the petitioner, the Bank has proceeded with coercive steps even without serving any notice under Section 13(2) of the SARFAESI Act and the Car bearing No.KL-9/AF-6466 belonging to the petitioner has been forcefully taken away by the 2nd respondent. This made the petitioner to approach this Court by filing this writ petition with the following prayers;
“(i) call for the records leading to the passing of Ext.P2 by the 2nd respondent and quash the same by the issue of a writ of certiorari or other appropriate writ, order or direction;
(ii) issue a writ in the nature of mandamus directing the respondents to return to the petitioner his car KL-9/AF- 6466 forthwith considering his medical condition;
(iii) issue a writ in the nature of mandamus directing the 1st respondent to extend to the petitioner the benefit of One Time Settlement Scheme which is now available;
(iv) issue a writ in the nature of mandamus directing the 1st respondent to consider Ext.P4 on merits expeditiously after affording to the petitioner a reasonable opportunity of being heard.”
2. When the matter came up for consideration before this Court on 05.11.2014, the following interim order was passed:
“Learned counsel appearing for the respondent Bank submits that no proceedings under SARFAESI Act had been initiated or issued by the respondent Bank and that the amount is sought to be recovered by invoking provision under Revenue Recovery Act.
The learned Government Pleader as well as the learned counsel for the respondent Bank seeks for further time to get instructions.
Post on 6.11.14.”
3. The learned counsel for the Bank submits that, no step has been taken under the SARFAESI Act and the idea understanding the petitioner is quite wrong and misconceived. Referring to Ext.P2, it is stated that, based on the requisition given by the Bank, the revenue authorities have set the machinery under the R.R. Act in motion. In the course of the said proceedings, the vehicle bearing No.KL-9/AF-6466 was taken in to custody and this made the petitioner to approach this Court. The learned counsel for the Bank also submits that no property was offered as security, as the loan is of a particular nature and provided to the small scale units under the 'Priority Sector Advance Scheme'.
4. Heard the learned Government Pleader as well.
5. During the course of hearing, the learned counsel for the petitioner submits that the petitioner is ready to satisfy a sum of `3,00,000/- (Rupees three lakhs only) forthwith and that the petitioner is intending to file an application before the Bank for extending the benefit of the 'One Time Settlement Scheme'. The learned counsel for the Bank submits that if the petitioner proves the bonafides by effecting a deposit of Rupees 'three lakhs' and files a petition for OTS, such application will be considered on merits and appropriate orders will be passed.
6. In the above circumstances, the petitioner is set at liberty to effect the deposit of Rupees 'Three lakhs' with the 1st respondent Bank forthwith; upon which, a certificate shall be given to the petitioner in this regard. On production of such receipt before the 2nd respondent, the custody of the vehicle bearing No.KL-9-AF-6466 shall be released to the petitioner forthwith. It is open for the petitioner to file a petition for OTS before the 1st respondent within 'two weeks' from today and subject to payment of '3 lakhs' as aforesaid, appropriate orders shall be passed under the OTS Scheme. It will be for the petitioner to satisfy the due amount under the OTS Scheme once the quantum is let known to the petitioner, in the manner as specified. It is also made clear that the recovery charges payable in respect of the steps taken by the revenue shall be cleared by the Bank which in turn could be realised from the petitioner.
Disposed of accordingly.
Sd/-
P.R. RAMACHANDRA MENON, JUDGE.
Pn