Final Order 1

Order Details: COPY OF ORDER
Pdf Text: IN THE COURT OF SH. ABHISHEK KUMAR
CHIEF JUDICIAL MAGISTRATE (CENTRAL)
TIS HAZARI COURTS, DELHI.
MA No. 09/2025
In Re:
INDIAN BANK
CORPORATE OFFICE AT
PB NO: 5555, 254-260, AVVAI SHANMUGAM SALAI,
ROYAPETTAH, CHENNΑΙ-600014
HAVING ITS BRANCH OFFICE AT
NEW DELHI MAIN BRANCH, G-41,
CONNAUGHT CIRCUS, NEW DELHI-110001
Through authorized officer
Sh. Neeraj Rukhaiyar
… Secured Creditor / Applicant
Versus
1. M/s Raj Steels, H. N. 17/19,
Ground Floor, New Rohtak Road,
Industrial Area, Anand Parbat Road,
New Delhi-110005
ALSO AT,
Khasra No. 589/333, First Floor,
House No. 2, Old Rohtak Road Extension,
Shahzada Bagh, Industrial Area,
New Delhi-110035
2. Mr. Ashok Kumar Aggarwal,
S/o Shri Chaman Lal (Proprietor & Guarantor)
R/o A-82, 2nd floor,
Ashok Vihar, Phase-3,
New Delhi-110052.
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3. Mr. Ashok Kumar Aggarwal,
S/o Shri Chaman Lal (Mortgager)
R/o A-82, 2nd floor, Ashok Vihar,
Phase-3, NewDelhi-110052
… Respondents
ORDER ON APPLICATION FILED UNDER SECTION 14(1) OF
SECURITISATION AND RECONSTRUCTION OF FINANCIAL
ASSETS AND ENFORCEMENT OF SECURITY INTEREST ACT, 2002.
21.01.2025
Present: Sh. Abhishek Kumar, Ld. Counsel for the applicant bank
alongwith AR of the applicant bank Sh. Neeraj Rukhaiyar.
Original documents seen and returned.
1. The present is an application filed under section 14 of the
Securitisation and Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002 (SARFAESI Act), which has since been
amended vide the Enforcement of Security Interest and Recovery of Debts
Laws and Miscellaneous Provisions (Amendment) Act, 2016 (12.08.2016).
2. The petitioner being a secured creditor seeks assistance of the
undersigned in taking possession and control of the secured asset, which is
stated to be within the territorial jurisdiction of the undersigned. The
respondents are stated to be the borrowers/guarantors/mortgagors within
the contemplation of SARFAESI Act. It is submitted that the property as
mentioned in the application is a secured asset upon which security interest
was created by the borrowers to secure repayment of the financial
assistance extended by the petitioner/applicant. The borrowers committed
default in repayment of the financial assistance and their account was
classified as non-performing asset. Subsequently, statutory notice in writing
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under section 13(2) of SARFAESI Act was served upon the borrowers
requiring them to discharge their liability in full within sixty days, also
detailing the amount payable and the secured assets intended to be enforced
in the event of non-payment of secured debts.
3. It has been informed that after service of notice, objection dated
18.12.2024 received by the petitioner from the borrower and the reply by
the petitioner/ bank were sent to the borrower on 24.12.2024. However,
the borrowers have failed to make the payment despite lapse of stipulated
period.
4. It is then submitted that there is no stay by any competent court or
forum in favour of the respondents.
5. It may be noted that the property is stated to be in possession of the
borrowers / guarantors and not in favour of any lessee (under any valid or
invalid or doubtful lease) or any other person.
6. After insertion of Section 17(4A) which provides that DRT has
powers to decide the claims of tenancy or leasehold rights over a secured
asset, CMM has no jurisdiction to go into the question as to who is
presently in physical possession of the property in question. Reliance being
placed on the judgment passed by the Hon'ble High Court of Delhi in
Cholamandalam Investment and Finance Company Limited vs. Rajeev
Chawla & Anr. dated 22.10.2021.
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7. The original documents have been perused as mentioned in the
application and as supported by the affidavit as required by the first proviso
to section 14(1) of SARFAESI Act. It states that all the provisions of
SARFAESI Act have been complied with by the petitioner.
8. The property (secured asset) is an immovable property described as
“Entire Built Up Property bearing municipal No. 2, Consisting of Entire
Basement, Ground Floor, First Floor and Second Floor with its roof rights
situated towards and adjoining Municipal No. 1A & 1, Shahzada Bagh
Industrial Area Old Rohtak Road (Shahzada Bagh Extn.) Delhi-110035 out
of Khasra No. 589/333, area of village Chowkri Mubarkabad, Area
Measuring 102.50 Sq. Yards”. The description is same in security
agreement and the title documents. It is within territorial jurisdiction of this
court. It is stated to be in the name of respondent. The original title
documents and copies of previous chain of documents in respect of said
property are with the petitioner thereby creating an equitable mortgage.
The amount due is not less than twenty percent of the principal amount and
interest as per clause (j) and the property is not the one hit by other clauses
of section 31 of SARFAESI Act. Sixty-days’ notice given under section
13(2) of SARFAESI Act has been seen, giving details of outstanding
amount and details of secured asset, along with original postal receipt and
the newspaper publication. The petitioner states that no objections have
been received from anyone and that the borrower has failed to repay the
outstanding amount in full.
9. As all such requirements have been fulfilled, it becomes mandatory
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for the undersigned being the Chief Metropolitan Magistrate to order taking
possession of the assets mortgaged with the petitioner and the documents
related thereto, and forward the same to the secured creditor. As per section
14, the court may take or cause to be taken such steps as use of cause to be
used such force as may be necessary.
10. In view of this position, I hereby appoint Mr. Satya Prakash Tyagi,
Advocate, Enrollment No. D/100/1977, Office at Chamber No. Y-32, Civil
wing, Tis Hazari Court, Delhi-110054, Ph. 9891220505 as Receiver to take
the physical possession of the secured asset, that is, immovable property
described as “Entire Built Up Property bearing municipal No. 2, Consisting
of Entire Basement, Ground Floor, First Floor and Second Floor with its
roof rights situated towards and adjoining Municipal No. 1A & 1, Shahzada
Bagh Industrial Area Old Rohtak Road (Shahzada Bagh Extn.)
Delhi-110035 out of Khasra No. 589/333, area of village Chowkri
Mubarkabad, Area Measuring 102.50 Sq. Yards”. The Receiver shall give
possession notice to the Authorized Officer of the secured creditor and the
borrower, to be served personally / speed post at least fifteen days in
advance. A copy of such fifteen-days’ advance notice shall also be affixed
on the main door or other conspicuous part of the said property. A copy of
this order be also affixed along with such notice and photographs be also
taken as proof of the same.
11. After expiry of the notice, the receiver shall take possession of the
aforesaid property. The entire proceedings shall be photographed or video-
recorded as per the demand of the situation. The Receiver shall be
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empowered to break open the locks, doors, windows, shutters and to
remove any other kind of obstruction, if required, for taking possession of
the property. In such eventuality, the Receiver shall prepare an inventory of
the articles found lying therein, which shall be duly signed by the
witnesses. Copies of the inventory shall be handed over to the borrowers if
present at the site under acknowledgment and also to the Authorized
Officer of the petitioner.
12. After taking over the possession of the aforesaid assets, the Receiver
shall forward the same to the petitioner through its authorized officer. The
Receiver shall exercise all due care and caution and not to violate the
orders of any Court of forum relating to the aforesaid property.
13. The petitioner shall furnish all necessary details to the Receiver and
would extend full co-operation for the purpose of execution of this order.
The SHO of the concerned PS is also directed to provide police assistance
to the Receiver to ensure smooth execution of this order.
14. The fee of the Receiver is fixed at Rs. 1,50,000/- (Rupees One Lakh
and Fifty Thousand Only) which should be paid in advance to the Receiver
against acknowledgment, before proceeding in any manner under the order.
Steps be taken within seven days from today in this regard. All
miscellaneous and incidental expenses shall be borne by the petitioner.
15. The Receiver shall file his report along with photographs/video, CD,
documents if any, inventory prepared if any, immediately after execution of
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order.
16. For removal of doubts, it is made clear that objections/applications, if
any, may be preferred by any borrower, guarantor, mortgagor, lessee or any
other aggrieved person before the Debt Recovery Tribunal having
jurisdiction, as per the amended provisions of section 17 of SARFAESI
Act.
17. A copy of this order be given to the petitioner bank and the Receiver.
Reader/Ahlmad of this Court is directed to inform telephonically to the
Court appointed Receiver.
18. No further proceedings are required by the undersigned on this
application. File be consigned to the Record Room.
Announced in the open Court
this 21th Day of January 2025
(ABHISHEK KUMAR)
Chief Judicial Magistrate (Central) THC
Tis Hazari Courts, Delhi
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