IN THE HIGH COURT OF JUDICATURE AT HYDERABAD FOR THE STATE OF TELANGANA AND THE STATE OF ANDHRA PRADESH TUESDAY, THE SECOND DAY OF SEPTEMBER TWO THOUSAND AND FOURTEEN Present HON’BLE SRI JUSTICE P.NAVEEN RAO WRIT PETITION No.23293 of 2014 Between:
M/s. Shakti Engineering Company, IDA, Kamareddy, Rep. by its Partner, Mohan Lal, S/o.Hiralal Patel, Aged about 51 years, Occ: Business, R/o. H.No.5-3-374, Vidyanagar Colony, Kamareddy Mandal, Nizamabad District.
.. Petitioner AND The Andhra Bank, Kamareddy Branch, Nizamabad District, Rep. by Chief Manager.
.. Respondent The Court made the following:
HON’BLE SRI JUSTICE P.NAVEEN RAO WRIT PETITION No.23293 of 2014 ORDER:
The petitioner claims to be the owner of property to an extent of 1666.6 square yards, situated in Industrial Development Area, Kamareddy Mandal, Nizamabad District. The petitioner leased the premises to Balaji Pipe Industries for a period five years commencing from 01.01.2009 to 31.12.2013 on payment of monthly rent of Rs.5,000/-. After the completion of lease period, when the petitioner requested the lessee to vacate the premises, the lessee informed the petitioner that there was a dispute regarding payment of loan obtained from the Andhra Bank and the Andhra Bank seized the machinery and other equipment of the lessee and sealed the premises. Aggrieved by the same, the petitioner represented to the respondent Bank on 14.07.2014 informing the respondent Bank that the lease period was over and without knowledge or information to the petitioner, the property was locked denying the enjoyment of the petitioner. The petitioner is no way concerned with the default made by the borrower and the liability of the borrower to clear the loan and the right of the respondent bank to recover the amounts due by selling the properties belonging to the lessee. The respondent Bank responded to the letter of the petitioner vide their letter, dated 04.08.2014, informing the petitioner that on account of the default made by the borrower, the machinery and stocks which were hypothecated were seized and arrangements are being made to dispose of. The petitioner was informed that at this stage the machinery and stocks cannot be removed from the premises. Aggrieved thereby, this writ petition is instituted.
2. When the matter is taken up for consideration, learned Standing Counsel representing the respondent Bank informed that the bank is taking active steps to dispose of the machinery and stocks and in fact, auction notice was published in Daily Newspaper, dated 01.09.2014, fixing the auction date and the tenders shall be opened on 07.10.2014. Learned Standing Counsel, therefore, submits that at this stage the question of removing the stocks would not arise and in fact, the petitioner ought to have proceeded against the lessee. Be that as it may, the respondent Bank is anxious to dispose of the stocks and machinery and recoup the huge amount of loan borrowed by the borrower and shall require at least three months to complete the exercise. Learned Standing Counsel further submits that the Bank is concerned with only the machinery and stocks and the Bank is no way concerned with the premises and the petitioner has to avail appropriate remedies to take action against the lessee in whose favour the lease deed was executed by him.
3. Without going into the issue of what course of action the petitioner should take with reference to taking possession of the premises, in view of the steps taken by the Bank to conduct auction to dispose of the stocks and machinery and as suggested by the learned Standing Counsel for the respondent Bank that the Bank would require three months time to remove the stocks and machinery, the Writ Petition is disposed of granting three (3) months time to the respondent Bank to take steps to remove the stock and machinery and the petitioner has to work out his remedies with reference to the eviction of the lessee and taking possession of the premises to recover the rents from the lessee. There shall be no order as to costs. Miscellaneous Petitions, if any, pending in this writ petition shall stand closed.
P.NAVEEN RAO, J Date: 2nd September, 2014 KL HON’BLE SRI JUSTICE P.NAVEEN RAO WRIT PETITION No.23293 of 2014 Date: 2nd September, 2014 KL