Final Order 3

Order Details: COPY OF ORDER
Pdf Text: IN THE COURT OF CHIEF JUDICIAL MAGISTRATE, NORTH-
WEST DISTRICT, ROHINI COURTS, DELHI
Ct. Case No.21236/2024
Axis Bank Ltd. ......Petitioner
VS.
M/s Jawala Trading Company & Ors. .....Respondents
ORDER ON APPLICATION FILED UNDER SECTION 14 OF
SECURITISATION AND RECONSTRUCTION OF FINANCIAL
ASSETS AND ENFORCEMENT OF SECURITY INTEREST
ACT, 2002.
03.12.2024
Present: Sh. Prasant, Ld. Counsel for the applicant.
Ld. Counsel for the respondent.
It is stated by ld. Counsel for respondent that no final
settlement has been arrived.
Submissions are heard.
Original record are produced. Perused 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).
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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 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 despite service of notice, no
objection or representation was received by the petitioner from
anyone. 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 favour of any
lessee (under any valid or invalid or doubtful lease) or any other
person.
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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, CJM 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.
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 "(i) All that piece and parcel of commercial property
Unit No.801, 8th Floor, Best Sky Tower situated at Plot No.F-5,
Wazirpur District Centre, Netaji Subhash Place, Pitampura, Delhi-
110034, admeasuring area 41.53 sq. mtrs (447 sq. fts) total area of
60.20 sq. mtr. in the name of Mr. Sanjay Singla together with all the
buildings and structures thereon fixtures and fittings attached to the
earth or permanently fastened to anything attached to the earth, both
present and future (fresh property).
(ii) All that piece and parcel of commercial Unit No.802,
8th Floor, Best Sky Tower situated at Plot No.F-5, Wazirpur District
Centre, Netaji Subhash Place, Pitampura, Delhi-110034,
admeasuring area 39.49 sq. mtrs (425 sq. fts) total area of 57.23 sq.
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mtr. in the name of Mr. Sanjay Singla with all the buildings and
structures thereon fixtures and fittings attached to the earth or
permanently fastened to anything attached to the earth, both present
and future (fresh property).
(iii) Entire present & future current assets and movable
fixed assets excluding vehicles in the name of M/s Jawala Trading
Company". 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 G) 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 for the undersigned being the Chief Judicial 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.
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10. In view of this position, I hereby appoint Advocate Ms.
Shalini Gupta, Enrl. No.D-17-1997, Chamber No.410, 4th Floor,
Rohini Court Complex, New Delhi-85, M. No.9968040560 as
Receiver to take the physical possession of the secured asset, that is,
immovable property described as ""(i) All that piece and parcel of
commercial property Unit No.801, 8th Floor, Best Sky Tower
situated at Plot No.F-5, Wazirpur District Centre, Netaji Subhash
Place, Pitampura, Delhi-110034, admeasuring area 41.53 sq. mtrs
(447 sq. fts) total area of 60.20 sq. mtr. in the name of Mr. Sanjay
Singla together with all the buildings and structures thereon fixtures
and fittings attached to the earth or permanently fastened to anything
attached to the earth, both present and future (fresh property).
(ii) All that piece and parcel of commercial Unit No.802,
8th Floor, Best Sky Tower situated at Plot No.F-5, Wazirpur District
Centre, Netaji Subhash Place, Pitampura, Delhi-110034,
admeasuring area 39.49 sq. mtrs (425 sq. fts) total area of 57.23 sq.
mtr. in the name of Mr. Sanjay Singla with all the buildings and
structures thereon fixtures and fittings attached to the earth or
permanently fastened to anything attached to the earth, both present
and future (fresh property).
(iii) Entire present & future current assets and movable
fixed assets excluding vehicles in the name of M/s Jawala Trading
Company.
11. 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
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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.
12. After expiry of the notice, the receiver shall take
aforesaid possession of the property. The entire proceedings shall be
recorded, photographed or video-graphed as per the demand of the
situation. The Receiver shall be 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 of the inventory
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.
13. 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.
14. 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.
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15. The fee of the Receiver is fixed at Rs.1,50,000/- (Rupees
One Lakh Fifty Thousand) which should be paid in advance within
07 days from today. All miscellaneous and incidental expenses shall
be borne by the petitioner. TDS, if any, shall not be included in the
Receiver's Fee.
16. The Receiver shall file his report along with
photographs/ video, CD, documents if any, inventory prepared if
any, immediately after execution of order.
17. 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.
18. A copy of this order be given to the petitioner bank and
the Receiver. Reader/Ahlmad of this Court is directed to inform
telephonically the Court appointed Receiver.
19. No further proceedings are required by the undersigned
on this application. File be consigned to the Record Room.
Announced in open Court
on 3rd December, 2024 (VASUNDHRA CHHAUNKAR)
Chief Judicial Magistrate,
North-West District, Rohini Courts, Delhi
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