- (1.) The present petition has been filed under Article 226 of the Constitution of India by Moserbaer India Ltd, praying that the respondent State Bank of Bikaner and Jaipur be directed to provide relevant information and documents relied upon by the Identification Committee for declaring petitioner company as 'Willful Defaulter'.
(2.) Mr. R.N. Mathur, the learned Senior Advocate has very fairly submitted that the respondent Bank has not only afforded opportunity of hearing to the petitioner company and its Directors, but has also allowed their representation through Advocate. The learned Senior Advocate has referred to the Master Circular issued by the Reserve Bank of India, wherein procedure for declaring 'Willful Defaulter' has been prescribed. The learned Senior Advocate has submitted that declaration of Company and its Directors as 'Willful Defaulter' has penal consequence as is apparent from bare perusal of Clause 2.5 of the Master Circular.
(3.) Mr. Mathur, the learned Senior Advocate has contended that the hallmark of the Circular is 'Transparancy' which is ensured by following the procedure laid for declaration of defaulter as 'Willful Defaulter'. The learned counsel has further referred to Clause 3, which lay mechanism of identification of 'Willful Defaulter'. The learned counsel submitted that the evidence for declaring a company and its Promoters/Holder/Directors as 'Willful Defaulter' is required to be examined by the Committee headed by Executive Director, consisting of two other senior officers of the rank of GM/DGM. The learned counsel submitted that in the present case the Identification Committee has been constituted and the petitioner has appeared before the same. The learned counsel submits that once the Committee formulates presumptive opinion that a willful default has occurred, it has to issue show cause notice to the concerned borrower and Promoters/Whole-Time Director. The learned counsel for the petitioner has submitted that the Identification Committee has also issued notice to the petitioner company/promoters and then Directors.;