1. By way of this application, the applicant has prayed for the following reliefs :-
[A] Your Lordships may be pleased to grant interim relief by directing the respondent no. 2 bank to clear the dues of the provident fund authorities existing on the property purchased by the petitioner situated at Survey No. 418 paiki Plot No. 18 to 25 and Survey No. 435 paiki situated at Lucky Industrial Estate, Kadi, Mehsana and direct the respondent no. 3 to delete the entry in the revenue record.
ALTERNATIVELY Your Lordships may be pleased to direct respondent no. 3 to delete the charge of respondent no. 1 on the property situated at Survey No. 418 paiki Plot No. 18 to 25 and Survey No. 435 paiki situated at Lucky Industrial Estate, Kadi, Mehsana on petitioner fulfilling such terms as deemed fit by this Hon'ble Court.
[B] ......"
2. Heard learned counsel for the respective parties. It appears from the record that the applicant Company has invested a huge amount exceeding Rs.4.00 crores, in the property in question. However, on account of the fact that the provident fund department has created charge over the said property for non payment of the past dues, the applicant is not able to mortgage the said property to another Bank for availing term loan for business purpose. On account of the above position, the applicant is suffering huge financial loss by every passing day. It is pertinent to note that the factum of existence of charge of the provident fund authorities upon the property in question was not known to the applicant when it had purchased the property in question. Therefore, the applicant cannot be made suffer for the negligence of the respondent Bank.
3. During the course of hearing, the learned counsel for the applicant submitted that the applicant is ready and willing to file an undertaking before this Court on such terms and conditions as may be imposed since the applicant Company is suffering financial loss for making such huge investments.
4. Heard learned counsel for the respective parties. It appears that when the respondent Bank had published the advertisement in question, the factum of existence of charge of the Provident Fund department upon the property in question was not disclosed. The applicant Company had purchased the property in question in auction without being aware about the factum of existence of charge of the Provident Fund department. Had it been the case that the petitioner was known about the existence of such charge. Then the applicant could not claim the reliefs in this application. Considering the fact that the applicant was completely unaware about the factum of the charge over the property in question and when the applicant is ready and willing to file an undertaking before this Court, in my opinion, the applicant is entitled to reap the fruits of the huge investments made by him.
5. However, the respondent Bank has objected to the grant of this application but for the reasons stated hereinabove, I find it appropriate to grant this application on the following conditions :-
The applicant company shall file an undertaking before this Court within a period of one week from today to the effect that if the ultimate outcome in the present petition is against the applicant, then it would make the payment of the entire outstanding dues of the Provident Fund department for which the Provident Fund department is having the charge over the property in question.
On such an undertaking being filed, the respondent Bank shall make payment of the entire dues of the Provident Fund department within a week thereafter.
On fulfillment of the above conditions, the respondent Bank shall issue necessary certificate in favour of the applicant Bank disclosing the payment of the entire outstanding dues tot he Provident Fund department and subsequent release of the charge of the Provident Fund department over the property in question.
6. With the above directions, the application stands disposed of. It is however, observed that the aforesaid order has been passed considering the peculiar facts of the case that the applicant Company was completely unaware about the existence of the charge of the Provident Fund department and since the applicant has made huge investments in the property in question. Direct Service is permitted today.
[K.S.
JHAVERI, J.] /phalguni/ Top