- (1.) The present challenge has been preferred primarily against a notice dated December 16, 2019 issued by the respondent no.1-bank to the petitioner no.1 and others.
(2.) The subject of the said notice reads as follows: Identification of default in the loan account of M/s Jai Balaji Industries Ltd. with the bank, as "willful defaulter". The notice proceeded to mention certain defaults having been committed by the petitioner no.1 and that siphoning off funds was also indicated from the conduct of the petitioner no.1.
(3.) The crucial paragraph, at page - 26 of the instant writ petition, stated as follows: "If the default(s) is/are not rectified within 10 days from the receipt of this notice, bank intends to disclose or publish your name or the name/s of your company/ firm/ unit and your Director/s/Partner/s/Proprietor as wilful defaulter in such manner and though such medium as the bank or RBI in their absolute discretion may think fit. This will eventually result in: Non Sanction of additional facility by any Bank/FI. Debarring the entrepreneurs/promoters from institutional fiancà ((THELAW)) from SCBs, DFIs, Govt. owned NBFCs, Investment Institutions etc. for floating new ventures. Beside legal process, and foreclosure of recovery of dues, if warranted, criminal proceedings may be initiated. We, therefore, advise you to rectify default in time and will thereby preclude the contingency for declaring you as a wilful defaulter. Besides above, the bank will take appropriate legal actions for recovery of bank dues without any further reference at your risk, responsibility and costs." ;