KSL & INDUSTRIES LTD. Vs. M/S. ARIHANT THREADS LTD.
LAWS(SC)-2014-10-43
SUPREME COURT OF INDIA (FROM: DELHI)
Decided on
October 27,2014
Ksl And Industries Ltd.
Appellant
VERSUS
M/S. Arihant Threads Ltd.
Respondents
Referred Judgements :-
RAM KARAIA VS. SIMLA BANKING INDUSTRIAL COMPANY LIMITED [REFERRED TO]STATE OF PUNJAB VS. OKARA GRAIN BUYERS SYNDICATE LTD [REFERRED TO]
LIFE INSURANCE CORPORATION OF INDIA CHANDRASEKHAR BOSE VS. D J BAHADUR:UNION OF INDIA [REFERRED TO]
RESERVE BANK OF INDIA UNION OF INDIA PEERLESS GENERAL FINANCE AND INVEST MENT CO LIMITED STATE OF WEST BENGAL VS. MENT COMPANY LIMITED:PEERLESS GENERAL FINANCE AND INVEST MENT COMPANY LIMITED:RESERVE BANK OF INDIA:PEERLESS GENERAL FINANCE AND INVEST MENF COMPANY LIMITED [REFERRED TO]
MAHARASHTRA TUBES LIMITED VS. STATE INDUSTRIAL AND INVESTMENT CORPORATION OF MAHARASHTRA LIMITED [REFERRED TO]
ALLAHABAD BANK VS. CANARA BANK [REFERRED TO]
KAILASH NATH AGARWAL VS. PRADESHIYA INDUSTRIES AND INVESTIGATION CORPORATION OF UTTAR PRADESH [REFERRED TO]
Cited Judgements :-
INFO EDGE (INDIA) LTD VS. GOOGLE INDIA PVT. LTD [LAWS(MAD)-2024-1-103] [REFERRED TO]FORUM FOR PEOPLES COLLECTIVE EFFORTS (FPCE) VS. STATE OF WEST BENGAL [LAWS(SC)-2021-5-4] [REFERRED TO]
STI INDIA LIMITED VS. ORIENTAL BANK OF COMMERCE [LAWS(GJH)-2019-11-23] [REFERRED TO]
G P ISPAT PRIVATE LIMITED VS. AUTHORIZED OFFICER AND CHIEF MANAGER, STATE BANK O [LAWS(CHH)-2017-8-50] [REFERRED TO]
DHEERENDRA KUMAR AND ANOTHER VS. AUTHORISED OFFICER AADHAR HOUSING FINANACE LTD AND [LAWS(ALL)-2018-4-71] [REFERRED TO]
SPS STEELS ROLLING MILLS LTD. VS. STATE OF HIMACHAL PRADESH AND ORS. [LAWS(HPH)-2015-6-73] [REFERRED TO]
OM PRAKASH PARASRAMPURIA AND ORS. VS. UNION OF INDIA AND ORS. [LAWS(DLH)-2016-3-9] [REFERRED TO]
STAR INDIA PRIVATE LIMITED VS. DEPARTMENT OF INDUSTRIAL POLICY AND PROMOTION [LAWS(MAD)-2018-3-42] [REFERRED TO]
SABARMATI GAS LIMITED VS. SHAH ALLOYS LIMITED [LAWS(SC)-2023-1-7] [REFERRED TO]
S NANDHINI VS. STATE INSPECTOR OF POLICE, ECONOMIC OFFENCE WING-II [LAWS(MAD)-2019-1-196] [REFERRED TO]
HAMZA.P. VS. CANARA BANK [LAWS(KER)-2017-11-9] [REFERRED TO]
JAIBHARAT TEXTILE AND REAL ESTATE LTD. VS. REGIONAL PROVIDENT FUND COMMISSIONER-II [LAWS(DLH)-2015-12-140] [REFERRED TO]
SHIVAM WATER TREATERS PVT LTD VS. UNION OF INDIA [LAWS(GJH)-2018-4-13] [REFERRED TO]
GOYAL MG GASES PVT LTD VS. SBQ STEELS LTD [LAWS(DLH)-2016-8-535] [REFERRED]
BOARD OF TRUSTEES OF THE PORT MUMBAI VS. BARGE MADHWA AND ANR. [LAWS(BOM)-2020-5-11] [REFERRED TO]
STATE OF A.P. VS. MANGALI YADAGIRI [LAWS(APH)-2015-4-146] [REFERRED TO]
MUKESH BHAVARLAL BHANDARI VS. UCO BANK [LAWS(GJH)-2016-2-235] [REFERRED TO]
HARISADHAN SINGHA VS. THE STATE OF WEST BENGAL [LAWS(CAL)-2015-3-56] [REFERRED TO]
NALINI CHIDAMBARAM VS. DIRECTORATE OF ENFORCEMENT, REPRESENTED BY ITS DIRECTOR, GOVERNMENT OF INDIA [LAWS(MAD)-2018-7-315] [REFERRED TO]
J. VENKATESH REDDY VS. STATE OF KARNATAKA AND OTHERS [LAWS(KAR)-2017-4-16] [REFERRED TO]
ANIKET VS. STATE OF MAHARASHTRA [LAWS(BOM)-2023-12-96] [REFERRED TO]
STAR INDIA PRIVATE LIMITED VS. DEPARTMENT OF INDUSTRIAL POLICY AND PROMOTION [LAWS(MAD)-2018-5-47] [REFERRED TO]
SUNIL GANDHI VS. A.N. BUILDWELL PRIVATE LIMITED [LAWS(DLH)-2017-3-159] [REFERRED TO]
ARAVALI INFRAPOWER LTD. VS. MICHIGAN ENGINEERS PVT. LTD. AND ORS. [LAWS(DLH)-2016-1-326] [REFERRED TO]
SVPCL LIMITED VS. STATE BANK OF INDIA [LAWS(APH)-2015-4-26] [REFERRED TO]
STATE OF KERALA VS. P.D.RAVEENDRAN [LAWS(KER)-2020-2-345] [REFERRED TO]
ANKIT ISPAT (P) LTD. VS. THE CENTRAL BANK OF INDIA [LAWS(MAD)-2015-12-225] [REFERRED TO]
ABG SHIPYARD LTD VS. ICICI BANK LTD & ORS [LAWS(NCLT)-2017-11-757] [REFERRED TO]
EMTEX INTERNATIONAL LTD VS. UNION OF INDIA REP BY SECRETARY [LAWS(KER)-2016-12-189] [REFERRED TO]
S. KRISHNAMURTHY VS. MANIVASAN THE PRINCIPAL SECRETARY SOCIAL WELFARE & NUTRITIOUS MEAL PROGRAMME DEPARTMENT [LAWS(MAD)-2022-6-257] [REFERRED TO]
M/S MADRAS PETROCHEM LTD.& ANR. VS. BIFR & ORS. [LAWS(SC)-2016-1-74] [REFERRED TO]
K C NINAN VS. KERALA STATE ELECTRICITY BOARD [LAWS(SC)-2023-5-102] [REFERRED TO]
ATUL KUMAR MITTAL VS. INDIAN INSTITUTE OF TECHNOLOGY DELHI THROUGH ITS REGISTRAR AND ORS [LAWS(DLH)-2019-2-227] [REFERRED TO]
PIONEER URBAN LAND AND INFRASTRUCTURE LIMITED VS. UNION OF INDIA [LAWS(SC)-2019-8-36] [REFERRED TO]
INDIA SUGARS & REFINERIES LTD. VS. COMMISSIONER FOR CANE DEVELOPMENT [LAWS(KAR)-2019-12-2] [REFERRED TO]
GARIB DASS AND ORS. VS. MULAKH RAJ AND ORS. [LAWS(HPH)-2015-4-9] [REFERRED TO]
BHARAT HEALTHCARE LIMITED AND ANR VS. AUTHORIZED OFFICER, PUNJAB NATIONAL BANK & OTHERS [LAWS(HPH)-2016-9-226] [REFERRED]
SONAPALA BALARAJU AND ORS. VS. STATE OF TELANGANA AND ORS. [LAWS(APH)-2015-9-3] [REFERRED TO]
HUSSAIN & ANR VS. UNION OF INDIA [LAWS(CAL)-2015-12-175] [REFERRED]
INDRA PAL DEV PANDEY VS. DY. DIRECTOR OF CONSOLIDATION, MIRZAPUR AND ORS. [LAWS(ALL)-2015-8-139] [REFERRED TO]
JUDGEMENT
-
(1.)This appeal is placed before us by way of a reference, made by a two- Judge Bench of this Court, C.K. Thakker and Altamas Kabir, JJ. which heard the matter on an earlier occasion and held that the appeal deserves to be allowed and that the Judgment and Order passed by the High Court is liable to be set aside. In view of a difference of opinion having arisen on the interpretation of Section 34 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (hereinafter referred to as the 'RDDB' Act) the matter has been referred for decision to this Bench by the Hon'ble Chief Justice of India.
(2.)The present appeal is preferred by KSL & Industries Ltd. ('appellant' for short) against the final Judgment and Order dated 23.02.06 passed by the Delhi High Court in Writ Petition Nos. 2041-2042 OF 2006. The High Court set aside the Order passed by the Debt Recovery Appellate Tribunal, Delhi ('DRAT' for short) and held that in view of the bar contained in Section 22 of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereafter referred to as 'SICA') no recovery proceedings could be effected against Respondent No. 1 (M/s. Arihant Threads Ltd.) ('Company' for short).
(3.)The Company set up an export oriented spinning unit for manufacturing cotton yarn in Amritsar District, in the State of Punjab. The Company took on lease, Plot No. 454 in 1992 for a period of 99 years from Goindwal Sahib Industrial & Investment Corporation, on a condition that it would not transfer the interest in the property for the first fifteen years without prior permission of the lessor. The Company had a right to mortgage lease- hold rights to a Bank, the Punjab Financial Corporation or the Life Insurance Corporation of India as security for a loan. It got its project financed by the Industrial Development Bank of India ('IDBI' for short) by way of foreign currency loan and a working capital of Rs. 93.1 million.
(2.)The present appeal is preferred by KSL & Industries Ltd. ('appellant' for short) against the final Judgment and Order dated 23.02.06 passed by the Delhi High Court in Writ Petition Nos. 2041-2042 OF 2006. The High Court set aside the Order passed by the Debt Recovery Appellate Tribunal, Delhi ('DRAT' for short) and held that in view of the bar contained in Section 22 of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereafter referred to as 'SICA') no recovery proceedings could be effected against Respondent No. 1 (M/s. Arihant Threads Ltd.) ('Company' for short).
(3.)The Company set up an export oriented spinning unit for manufacturing cotton yarn in Amritsar District, in the State of Punjab. The Company took on lease, Plot No. 454 in 1992 for a period of 99 years from Goindwal Sahib Industrial & Investment Corporation, on a condition that it would not transfer the interest in the property for the first fifteen years without prior permission of the lessor. The Company had a right to mortgage lease- hold rights to a Bank, the Punjab Financial Corporation or the Life Insurance Corporation of India as security for a loan. It got its project financed by the Industrial Development Bank of India ('IDBI' for short) by way of foreign currency loan and a working capital of Rs. 93.1 million.
Copyright © Regent Computronics Pvt.Ltd.