Final Order 1

Order Details: Notice of Motion
Pdf Text: ..1.. NM 4071/2019 IN SUIT 2093/2019
MHCC010111912019 Notice of Motion Filed : 02/11/2019
Registered on : 05/11/2019
Decided on : 10/09/2025
Duration : 05 Y : 10 M : 09 D
IN THE BOMBAY CITY CIVIL COURT, GREATER MUMBAI AT
MAZGAON
NOTICE OF MOTION NO.4071 OF 2019
IN
SUIT NO.2093 OF 2019
Makalu Trading Ltd. & Ors. )..Plaintiffs
Versus
Oriental Bank of Commerce & Ors. )..Defendants
Appearances :-
Ld. Adv. Neha Surte for plaintiffs.
None for defendants.
CORAM : HIS HONOUR JUDGE
SACHIN SURYAKANT PATIL
COURT ROOM NO.84
DATE : 10/09/2025.
ORDER
1) This notice of motion is filed by defendants for temporary
injunction restraining the defendants from taking any steps in pursuance
of declaration of plaintiffs as willful defaulters. Heard.
2) According to plaintiffs, defendant bank had sanctioned credit limit
facility to the plaintiff. However, due to the default in repayment, the
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account of plaintiffs was declared NPA on 31/03/2017. Defendants have
illegally declared plaintiffs as willful defaulters vide letter dated
13/03/2019. Hence, this suit has been filed by the plaintiffs for
declaration that notice of willful defaulters declared by defendants be
quashed and set aside. During the pendency of the suit, interim
injunction be passed against defendants restraining them from taking
any steps in respect of declaration of willful defaulters.
3) According to defendants, plaintiffs have not repaid the loan as
agreed. Hence, the account was declared NPA. The suit and notice of
motion filed by plaintiff is not maintainable. Defendant No.1 has
followed all RBI guidelines for declaration of plaintiffs as willful
defaulters. There is no prima facie case in favour of plaintiff. Hence, the
notice of motion be dismissed.
4) In view of above facts, following following points arise for my
determination. I have recorded my findings thereon for the reasons as
under :
SR.
NO.
POINTS FINDINGS
1. Whether the plaintiffs have prima facie
case ?
…No
2. Whether balance of convenience is in
favour of plaintiffs ?
…No
3. Whether irreparable loss will be caused,
if application of plaintiffs is rejected ?
…No
4. What order ? ...As per final order.
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R E A S O N S
5) According to plaintiffs, defendant bank had sanctioned credit limit
facility to the plaintiffs. However, due to the default in repayment, the
account of plaintiffs was declared NPA on 31/03/2017. Defendants have
illegally declared plaintiffs as willful defaulters vide letter dated
13/03/2019. Hence, this suit has been filed by the plaintiffs for
declaration that notice of willful defaulters declared by defendants be
quashed and set aside. During the pendency of the suit, interim
injunction be passed against defendants restraining them from taking
any steps in respect of declaration of willful defaulters.
AS TO POINT NOS.1 TO 3 :-
6) On perusal of the plaint and documents annexed therewith, it is
evident that the account of plaintiffs was declared NPA due to default in
repayment of loan facility. Thereafter, defendants after following the
procedure under SARFAESI Act, have declared the plaintiffs as willful
defaulters. Plaintiffs have not disputed the fact that they have committed
default in repayment of credit loan facility. Today, plaintiffs have filed
application for withdrawal of Suit. As per section 34 of SARFAESI Act,
Civil Court has no jurisdiction to grant injunction in respect of loan
recovery dispute which can be adjudicated by Debt Recovery Tribunal.
In such circumstances, it is evident that plaintiffs have no prima facie
case. Balance of convenience does not lie in favour of plaintiffs. Plaintiffs
will not suffer irreparable loss, if this application is rejected. Hence,
while answering point Nos.1 to 3 in negative, I pass the following
order :-
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O R D E R
1. Notice of motion No.4071 of 2019 is rejected.
2. Notice of motion No.4071 of 2019 is disposed of accordingly.
(Dictated and pronounced in open Court)
( Sachin Suryakant Patil )
Judge, City Civil & Sessions Court, Mazgaon,
Mumbai, C.R. No.84.
Date: 10/09/2025.
Dictated and typed on : 10/09/2025.
Signed by HHJ on : 10/09/2025.
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“CERTIFIED TO BE TRUE AND CORRECT COPY OF THE ORIGINAL
SIGNED JUDGMENT/ORDER.”
Upload Date Upload Time Sonali S. Naik
Name of Stenographer12/09/2025 12.00 p.m.
Name of the Judge (With C.R. No.) HHJ SACHIN SURYAKANT PATIL
(COURT ROOM NO.84)
Date of Pronouncement of
JUDGMENT / ORDER
10/09/2025
JUDGMENT / ORDER signed by
P.O. on
10/09/2025
JUDGMENT / ORDER uploaded on 12/09/2025
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