KARNATAKA STATE INDUSTRIAL INVESTMENT AND DEVELOPMENT CORPORATION Vs. PRASHANTH MINERALS EXPORTS (P) LTD. AND ORS.

JUDGEMENT

(1.) This appeal is preferred by the Karnataka State Industrial Investment & Development Corporation ('KSIIDC' for short) calling in question the order dated 12.4.2012 passed in Misc. Petition No.66/2010 on the file of the Principal District & Sessions Judge, Bengaluru Rural, dismissing its' petition filed under Section 31(1)(aa) & 32(1) of the State Financial Corporations Act, 1951 ('SFC Act' for short).

(2.) Brief facts:

(3.) In view of the default in repayment, appellant invoked the guarantee and called upon the second and third respondent vide notice dated 13/16.11.2000 to pay a sum of Rs.2,60,44,352.28 paise which was due and payable from the first respondent company as on 3.12.1999 with interest to be computed at 18.5% per annum from 1.2.2000. Respondents did not comply the demand made in the said notice. Thereafter, appellant presented the instant petition under Section 31(1)(aa) and 32(1) of the Act which was registered as Misc.298/2001 and subsequently re-numbered as Misc.66/2010 on the file of the District Judge, Bengaluru (Rural).