- (1.) Aggrieved by the auction notices dated 20-5-2001, and 24-2-2003, and by the auction sale dated 26-3-2003, held by the Rajasthan Finance Corporation ('the RFC', for short), the Petitioner has approached this court.
(2.) Briefly, the facts of the case are that the petitioner is a Company incorporated under the Company Act, 1956; it has its registered office at Mumbai. The petitioner company used to manufacture Precipitated Activated Calcium Carbonate. In 1995-96, the petitioner company approached the RFC for a loan of Rs. 200.00 lacs against hypothecation and mortgage of its land, building plant, and machinery situated at RIICO Industrial Area, Bagru Extension, Bagru. According to the petitioner company, although a loan of Rs. 200 lacs was approved by the RFC, but it was given a loan of merely Rs. 144.00 lacs. But according to RFC, it had disbursed a loan of Rs.184.35 lacs to the petitioner company. Moreover, according to the petitioner, not only did the RFC give a lesser loan than the loan amount sanctioned, but it also did not give the loan amount as per the schedule of payment. Thus, unable to establish itself firmly, the petitioner company could not repay the loan amount on time.
(3.) Due to the failure of the petitioner company to repay the loan amount, the RFC threatened to take over the company's assets under Section 29 of the Financial Corporation Act, 1951 ('the Act' for short). On 25-4-2001, and 26-4-2001, the RFC took over the assets of the petitioner company. On 20-5-2001, the RFC issued a public notice, in the daily newspaper Dainik Bhaskar, for auctioning the assets on 23-6-2001, 23-7-2001, and 23-8-2001. However, the auction did not take place on the scheduled dates.;