- (1.) The Court : GA No.1870 of 2015 is a curious application brought by a stranger to the proceedings and it has to be entertained in view of certain previous orders passed by this Court, inter alia, an order of December 24, 2014. AP No.1622 of 2014 is a petition under Section 9 of the Arbitration and Conciliation Act, 1996 filed by the finance company for the borrower not having paid the instalments due under the finance agreement. Such petition was one of ten similar petitions pertaining to several assets filed by the finance company against the same borrower. In all, four receivers were appointed on the ten petitions for taking over possession of the assets covered by the agreements.
(2.) The assets covered by the agreement pertaining to AP No.1622 of 2014 were apparently in the possession of the applicant in GA No.1870 of 2015, N.K.C. Projects Pvt. Ltd. Such applicant had earlier filed GA No.3950 of 2014. On GA No.3950 of 2014, an order was made on December 24, 2014 as follows : "The Court : Having heard the learned advocates appearing on behalf of the parties it appears that the applicant has approached this Court praying that it be examined pro interesse suo with regard to its interest in the "plants and machineries" as stated in its application or be allowed to intervene and in either case for such interest to be protected. It appears from the application that the description of the "plants and machineries" have been stated in details in paragraphs 36 and 37 of the application. The applicant has also prayed for an order to allow it to continue using the equipments as stated in paragraphs 36 and 37 of the application under the Joint Receivers who have been appointed by this Court in terms of its order dated 17th November, 2014. During the course of hearing, the learned advocate appearing on behalf of the applicant submits that in order to demonstrate his client's bona fides he is ready and willing to pay a sum of Rs.50 lakhs to Magma Fincorp Limited. Considering the facts and circumstances of the instant case and particularly upon taking note of the submission made by the learned advocate appearing on behalf of the applicant, this Court directs Magma Fincorp Limited to accept the cheques amounting to Rs.50 lakhs to be handed over by the learned advocate for the applicant, strictly without prejudice to its rights and contentions. In the meanwhile and until further orders of this Court, the joint receivers will allow the applicant to use the equipments, as specifically stated in paragraph 36 of the application. However, the same shall be allowed only upon encashment of the cheques amounting to Rs.50 lakhs handed over to Magma Fincorp Limited by the learned advocate for the applicant. Let this matter appear for further consideration, under the same heading on 7th January, 2015."
(3.) What is evident from the order dated December 24, 2014 is that in order to ward off the receivers taking possession of the assets covered by the relevant finance agreement, the applicant in GA No.3950 of 2014 offered to pay a sum of Rs.50 lakh to the finance company. The Court accepted the submission and required the payment to be received by the finance company without prejudice to the rights of the finance company. The Court also directed the receivers to allow the applicant to use the equipment covered by the relevant agreement, subject to the cheques tendered for Rs.50 lakh being cleared.;