M/S.Hdb Financial Services Limited v. Sandur Logistics And 2 Others

KRISHNAN RAMASAMY, J., This application has been filed seeking for a direction to appoint an Advocate as Receiver to seize and deliver the Asset Construction Equipment Komatsu PC 300 LC 8M0 Hydraulic Excavator bearing SL.No.N330157 available at the respondents premises or wherever found and permits the Advocate as receiver to obtain police aid and to break open the premises.

2.

The learned counsel appearing for the applicant would submit that the applicant provided loan to the respondent for purchase of the commercial vehicle/Excavator, namely, KOMATSU PC 300 LC 8M0 Hydraulic Excavator bearing SL.No.N330157. Thereupon, the respondent has entered into Loan Agreement dated 27.03.2021 with the applicant. The brief details in nutshell are as follows: 1/6

S.No.

Particulars Remarks 1.

Name of the lender The applicant 2.

Name of the borrower Sandur Logistics co-borrower-Shiraj Hussain 3.

Name of the Guarantor Sandur Shekshavali 4.

Date of Loan Agreement 27.03.2021 5.

Loan Amount Rs.97,20,000/- 6.

No.of installments 34 monthly installments 7.

First installment 04.06.2021 8.

Last installment 04.03.2024 9.

So far installments paid 15 installments 10.

Notice 09.12.2021 11.

Reply to the notice No 12.

Rate of interest 8.75% p.a.

13.

Amount claimed Rs.65,51,058.06 14.

Arbitration proceedings initiated Applicant undertakes to initiate arbitral proceedings within a period of 90 days.

3. The learned counsel for the applicant further submits that the respondent, having availed the loan, failed to repay the same and committed default from 16th instalment onwards. He would submit that the hypothecated vehicle is a movable asset and if it is kept in idle condition, it would get damaged and its value also gets deteriorated and 2/6

hence he would urge this Court to appoint an Advocate Commissioner to seize and handover the vehicle to the applicant bank morefully described in the schedule to the Judges summons available at the respondents premises, in order to make the security effective and the money in dispute in arbitration is fully secured by way of sale of the vehicle in public auction after following due process of law.

4. Despite service of notice and printing the name of the respondent in the Cause List, none appeared on behalf of the respondent. which shows that the respondent is not interested to prosecute the application.

5. Upon considering the facts and circumstances of the case and the submissions made by the learned counsel for the applicant, this Court is satisfied that the applicant has made out a case in its favour and accordingly, Ms.A.Shahana Fathima, Advocate, No.50/75, Secretariat Colony, A.K.Samy Nagar, 9th Street, Kilpauk, Chennai 600 010 and 3/6

contact Mobile No.9094821968 and Enrolment No.1810/2018 is appointed as the Advocate Commissioner to seize the vehicle, viz., KOMATSU PC 300 LC 8M0 Hydraulic Excavator bearing SL.No.N330157, lying at the respondents' premises or wherever found and hand over the same to the custody of the applicant. She shall be paid her initial remuneration of Rs.30,000/- (Rupees Thirty Thousand only) in advance. The expenses toward her travel and stay shall be defrayed by the applicant.

6. It is hereby made clear that if police help is required, the Advocate Commissioner shall make a request to the local police station within whose jurisdiction the vehicle is found and on such request being made, the Inspector of Police shall send the Police Personnel along with the Advocate Commissioner to seize the vehicle. If break open of a lock is required, the Advocate Commissioner shall do so in the presence of the police personnel who will counter-sign the record evidencing the break open of the lock and to re-lock the premises. After seizure, the 4/6

vehicle is to be handed over to the applicant or to their representative, after taking inventories. It is made clear that after seizure of the vehicle, the applicant shall not sell away the vehicle without permission of this Court.

7. Accordingly, this Application is disposed of.

8. List the matter on 21.02.2023 for filing report of the Advocate Commissioner.

20.01.2023 nsa 5/6

KRISHNAN RAMASAMY, J., nsa 20.01.2023 6/6