Arvind Remedies Ltd., v. Punjab National Bank,
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 09.06.2016
CORAM
THE HONOURABLE MR.JUSTICE HULUVADI G. RAMESH and THE HONOURABLE MR.JUSTICE M.V.MURALIDARAN Writ Petition No.19450 of 2016 and WMP.No.16861 of 2016 1.Arvind Remedies Ltd., Rep. By its Managing Director Mr.B.Arvind Shah, S/o.Babhumaliji Shah Having registered office at New No.190 Poonamallee High Road, Chennai-600 084 2.B.Arvind Shah
...Petitioners
Vs.
1.Punjab National Bank Rep. By its Chief Manager Large Corporate Branch Rayala Towers, III Floor, 781-782 Anna Salai, Chennai-2 2.United Bank of India Rep. By its Assistant General Manager Branch Office at New No.233, Sreepuram 1st Street, Royapettah, Chennai-14 3.State Bank of India Rep. By its Chief Manager Branch Office at 221, NSC Bose Road Chennai-1 4.Allahabad Bank Rep. By its Chief Manager Branch Office at George Town Armenian Street, Chennai-1 5.The Karur Vysya Bank Limited Rep. By its Chief Manager Branch Office at Dev's Ark, AD 79 & 80 5th Avenue, Anna Nagar, Chennai-40
6. Corporation Bank Rep. By its Assistant General Manager Branch Office at 38 & 39 Whites Road Royapettah, Chennai-14 7.Indian Overseas Bank Rep. By its Chief Manager Branch Office at 98-A Dr.Radhakrishnan Salai Mylapore, Chennai-4 8.IDBI Bank Limited Specialized Corporate Branch Rep. By its Deputy General Manager Having Office at No.7, Chevalier Sivaji Ganesan Salai South Boag Road, T.Nagar, Chennai-17
9. The Presiding Officer Debt Recovery Tribunal-II, Chennai. ...Respondents Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus forbearing the respondent from implementing exparte interim order dated 13.05.2016 passed in I.A.No.272 of 2016 in O.A.No.298 of 2016 and the consequential exparte order dated 23rd May 2016 passed in I.A.No.290 of 2016 in O.A.No.298 of 2016 on the file of the 9th respondent until an appeal is preferred by the Petitioners challenging the same before the Debt Recovery Appellate Tribunal, Allahabad, within a reasonable time frame. For Petitioners : Mr.T.K.S.Gandhi
O R D E R
(Order of the Court was made by HULUVADI G. RAMESH,J.) Heard the learned counsel for the petitioners. Notice to respondents is dispensed with.
2. As against the order of the Debts Recovery Tribunal-II, Chennai, dated 13.05.2016 and 23.05.2016, appeal lies before the Debts Recovery Appellate Tribunal, Allahabad. However, instead of approaching the said appellate forum, the petitioners approached this Court. Since the matter has not reached the finality and the appellate remedy is very much available, on consideration of the facts and circumstances of the case, we are of the view that it is for the petitioners to approach the Appellate Tribunal, within one month from today. Till then, this Court is inclined to grant an interim direction, directing the
parties concerned to maintain status quo as on date till 17th July, 2016, to enable the petitioners to exhaust their remedy before the Appellate Tribunal, by filing the appeal. The petitioners are at liberty to raise all the contentions raised herein before the Appellate Authority.
3. Since it is submitted that the petitioner industry is functioning, it may not be feasible to seize the functioning of the unit, more particularly in view of the reason that more number of workers are working in the said industry. However, in the mean while, the petitioners herein can either pursue their remedy by way of One Time Settlement with the respondents-Bank or to find out some purchaser for their unit, to settle the debts to the respondents-Bank and other Banks on priority basis.
4. It appears that as against the order of Debts Recovery Tribunal, Chennai, parties have to run all the way from Chennai to Allahabad, which is too difficult, because, there is no direct connectivity of flight and Allahabad is more than 2000 kilometers from Chennai.
In the circumstances, Mr.Su.Srinivasan, the learned Assistant Solicitor General of India is directed to take notice on behalf of the Central Government and it is for him to take up the issue before the Central Government about the constitution of the Debts Recovery Appellate Tribunal in the Southern Zone and advise at the appropriate level of the Central Government to take a policy decision, in this regard, so that it would mitigate the litigation expenses and also it would avoid the hardship and inconvenience caused to the parties.
5. With the above directions, the Writ Petition is disposed of. No costs. Consequently, connected WMP is closed. This Court, even on earlier occasions, has made recommendation on the above aspect. However, so far, there was no steps taken in this regard. Hence, we direct the Departments concerned to expedite the exercise as stated above.
Sd/- Assistant Registrar(CCC) //True Copy// Sub Assistant Registrar
To 1.The Chief Manager Punjab National Bank Large Corporate Branch Rayala Towers, III Floor, 781-782 Anna Salai, Chennai-2 2.The Assistant General Manager United Bank of India Branch Office at New No.233, Sreepuram 1st Street, Royapettah, Chennai-14 3.The Chief Manager State Bank of India Branch Office at 221, NSC Bose Road Chennai-1 4.The Chief Manager Allahabad Bank Branch Office at George Town Armenian Street, Chennai-1 5.The Chief Manager The Karur Vysya Bank Limited Branch Office at Dev's Ark, AD 79 & 80 5th Avenue, Anna Nagar, Chennai-40 6.The Assistant General Manager Corporation Bank Branch Office at 38 & 39 Whites Road Royapettah, Chennai-14 7.The Chief Manager Indian Overseas Bank Branch Office at 98-A Dr.Radhakrishnan Salai Mylapore, Chennai-4 8.The Deputy General Manager IDBI Bank Limited Specialized Corporate Branch Having Office at No.7, Chevalier Sivaji Ganesan Salai South Boag Road, T.Nagar, Chennai-17
9. The Presiding Officer Debt Recovery Tribunal-II, Chennai.
10.The Assistant Solicitor General of India, High Court Madras.
+1cc to Mr.T.K.S.Gandhi, Advocate sr.30833 W.P.No.19450 of 2016 jsv[co] srg 13/806/2016