Court No. - 30
Case :- MATTERS UNDER ARTICLE 227 No. - 3245 of 2018 Petitioner :- Sadhu Saran Respondent :- M/S. Mahendra And Mahendra Financial Services Ltd. And 4 Others Counsel for Petitioner :- Pawan Kumar
Hon'ble Vivek Kumar Birla,J.
Heard learned counsel for the petitioner and perused the record.
Present petition has been filed for setting aside the impugned order dated 10.10.2017 passed by the Additional Sessions Judge, Court No. 4, Maharaj Ganj in Execution No. 06 of 2011 Mahendra & Mahendra Financial Services Limited vs. Hari Shanker & another.
Submission of the learned counsel for the petitioner is that the petitioner is guarantor only and is not borrower of the loan facility. It is next submitted that legal heirs of borrower Hari Shanker have been substituted and are on record. It is further submitted that the mortgaged property is of Hari Shanker and therefore, the amount should be recovered from the mortgaged property and the petitioner, being a guarantor, cannot be proceeded with arbitration proceedings.
I have considered the submissions and perused the record.
It is not in dispute that the petitioner is guarantor and was a party to the arbitration proceedings. Arbitral award was admittedly never challenged.
The Hon'ble Apex Court in the case of Industrial Investment Bank of India vs. Biswanath Jhunjhunwala, (2009) 9 SCC 478 has held that liability of borrower and guarantor is co-extensive and recovery can be made from the guarantor.
Under such circumstances, I do not find any legal infirmity or jurisdictional error in the impugned order.
Present petition lacks merit and is accordingly dismissed. No order as to costs.
Order Date :- 28.5.2018 Abhishek