- (1.) The petitioner plaintiff in a suit for declaration states that the defendant is holding the amounts deposited by the plaintiff and amounts received from time to time by the defendant to be kept in No Lien Account in terms of order of Appellate Authority for industrial and financial reconstruction as a trustee for the benefit of the plaintiff and the plaintiff has sought for a judgment on admission in favour of the plaintiff against the defendant for a sum of Rs.4,70,612/- and further sum of Rs. 64,36,078/- being the interest payable by the defendant on the due date calculated upto November 30, 2009 as per the Statement 'C' Annexure 'K' or alternatively for direction upon the defendant for payment of interest lying with the defendant.
(2.) The prayer of plaintiff for judgment on admission arises out of the said suit on the facts that the plaintiff company upon the finalization of accounts of the plaintiff for the period upto December 31, 1995 found the accumulated losses of the plaintiff company and was deemed to be a sick industrial company within the meaning of Sick Industrial Companies (Special Provisions) Act, 1985 (hereinafter referred to as "SICA") and in that view of the matter, on August 2, 1996 the plaintiff made a reference under Section 15 of SICA before the Board of Industrial and Financial Reconstruction (hereinafter referred to as "BIFR"). By an order dated October 15, 1996 the plaintiff company was declared as a sick industrial company and the direction was given for framing of a scheme for revival or rehabilitation of the plaintiff company under Section 17(3) of SICA and as such the defendant, Industrial Development Bank of India was appointed as operating agent. The plaintiff company preferred an appeal against the order of BIFR before the Appellate Authority for Industrial and Financial Reconstruction (hereinafter to as "AAIFR") which was registered as Appeal No. 108 of 1999. The Appellate Authority directed sale of Ambattur and Walajapet Units of the plaintiff in the State of Tamil Nadu and constituted an Asset Sale Committee comprising of representatives of the defendant, Canara Bank, State Bank of Bikaner and Jaipur and a director of the plaintiff for conducting sale of the units of the plaintiff. AAIFR further directed that the expenses relating to work of the Asset Sale Committee will be met from the balance lying with the defendant in No Lien Account and directed the plaintiff to deposit a sum of Rs.20,00,000/- in No Lien Account with the defendant, then known as IDBI.
(3.) Pursuant thereto, the plaintiff on or about November 20,1999 deposited a sum of Rs.10 lacs with the defendant at Chennai in the said account and on March 20, 2000 the plaintiff deposited a balance of Rs.10 lacs with the defendant at Chennai, in No Lien Account. The said Committee thereafter proceeded to sell unit at the highest offer of price of Rs.215 lacs in respect of Ambattur Unit of the plaintiff and further to sell Walajapet Unit of the plaintiff at a price of Rs.36 lacs. The order dated September 12, 2001 passed by AAIFR will reflect that the amount realised on sale of various assets of the plaintiff company, shall be kept in an interest bearing No Lien Account with the Operating Agency, IDBI Bank.;