MAHESH CHANDRA TRIPATHI,J. - (1.) Heard Shri Navin Sinha, Senior Advocate assisted by Aditya Singh, Rahul Agarwal, K.K. Wadhwa, Avirudh Wadhwa, Anandava Handa and Vipul Kumar for the petitioner in Writ C No. 30285 of 2017 and Shri M.L. Lahoti assisted by Shri Dinesh Kakker and Shri Akash Chandra Maurya for the petitioners in the connected Writ C No. 30033 of 2017 and Shri Satish Chaturvedi and Shri Siddharth for the respondents.
(2.) In both the writ petitions, the petitioners are assailing the orders dated 6.7.2017 passed by the Debt Recovery Tribunal, Allahabad in Original Application No. 238/2017 (State Bank of India v. LML Limited and ors).
(3.) The facts of both the writ petitions, according to the petitioners, in brief are that the petitioners are the guarantors of M/s L.M.L. Limited, Kanpur, which was declared as 'Sick Industrial Company' by the Board of Industrial and Financial Reconstruction on 8.5.2007. The State Bank of India (in brevity, SBI) had filed the Original Application No. 238 of 2017 under section 19 (3) of the Recovery of Debts Due To Banks And Financial Institutions Act, 1993 (in short, the Act of 1993) before the Debt Recovery Tribunal (in brevity, DRT), Allahabad for recovery of Rs. 72,75,29,053.71 against the company (in liquidation) as the principal borrower and Deepak Singhania, Sanjeev Shreya and Anurag Kumar Singhania/the petitioners as the guarantors with following reliefs:- "(a) That a recovery certificate be issued against all the defendant nos. 1 to 4 to pay jointly and severally to applicant the sum of Rs. 72,75,29,053.71 together with interest from 28.03.2017 @ 6.5% average annual yield on annual compounding basis on the sum of Rs. 72,75,29,053.71 till the actual realization with all cost, charges and expenses that may be incurred from the date of filing of application till payment/realisation by the applicant in respect of the said hypothecated goods and immovable properties mortgaged as aforesaid and interest thereon as aforesaid and the costs of this application. (b) That this Hon'ble Tribunal may be pleased to order for the sale of said hypothecated assets and equitably mortgaged properties described in para (5.5) of the application and appropriation of the net sale proceed in or towards satisfaction of said amount mentioned in prayer (a) thereof. (c) That in the event of the net sale proceeds realized from the said the immovable properties as aforesaid being insufficient to cover the amounts mentioned in prayer (a) hereof, remaining outstanding may be recovered from the sale of personal movable and immovable properties of defendants nos. 2 to 4. (d) That such further and other relief may be granted to the applicant as the nature and circumstances of the case may require and as this Hon'ble Court may deem fit." ;