- (1.) The case of the petitioner is that M/s. Singhbhum Flour Mills had set up a Floor Mill at Sundernagar, Jamshedpur on being financed by Bihar State Financial Corporation, respondent No. 1 but the said M/s. Singhbhum Flour Mill could not repay the dues of the Corporation and, hence, the Corporation took over the industry and sold the same in auction sale to M/s. Bipasha Investment Pvt. Ltd. Nasik, respondent No. 3 for Rs. 1.25 crore and as against that the respondent No. 3 deposited only Rs. 50 lacs and the balance amount of Rs. 75 lacs was never paid by M/s. Bipasha Investment Pvt. Ltd. Therefore, the respondent-Corporation floated a tender for sale of the assets of the said unit. Pursuant to that, the petitioner, J.D. Sarda Industries Private Limited submitted its tender on 31.8.2006 with earnest money of Rs. 1 lac for purchase of the mortgaged assets of M/s. Bipasha Investment Pvt. Ltd. On receiving the same, Bihar State Financial Corporation, respondent No. 2, vide its letter dated 19.10.2006 informed the petitioner that the price quoted by the petitioner is much below the value of the assets and thereby request was made to enhance the offer. On query being made in this respect by the petitioner, respondent No. 2 again vide its order dated 12.12.2006 requested the petitioner to enhance the offer. Upon it, the petitioner vide its letter dated 30.12.2006 informed the respondent that he is prepared to offer to purchase the unit for Rs. 2.05 crore but the respondent No. 2 never informed about its acceptance or rejection. However, it could be known that the Corporation is dealing with M/s. Bipasha Investment Pvt. Ltd. dubiously to settle the unit on a meagre sum of less than Rs. 1 crore under the scheme called 'one time settlement', though the Corporation is not entitled to settle it to the respondent No. 3 as the Corporation had invited tender for sale of the assets of the unit, more so, when the Corporation did not choose to intimate about the cancellation of the bid. Under this situation, this writ application was filed on behalf of the petitioner praying therein to direct the Corporation respondent No. 1 to accept the bid submitted by the petitioner pursuant to notice inviting tender for purchase of the mortgaged assets of respondent No. 3, M/s. Bipasha Investment Pvt. Ltd. and to forebear the Corporation from entering into one time settlement with the respondent No. 3.
(2.) On the other hand, it is the case of the Corporation as well as respondent No. 3 M/s. Bipasha Investment Pvt. Ltd. that when respondent No. 3 could not repay the dues of the Corporation, the respondent-Corporation issued an advertisement for auction sale by exercising power under Section 29 of the State Financial Corporation Act and pursuant to that, the petitioner did submit its tender by depositing earnest money of Rs. 1 lac but by the time any decision could be taken in the matter of settlement of the mortgaged property of respondent No. 3 to the petitioner, the Corporation came up with a scheme, circulated on 15.9.2006 to settle the dues of entrepreneurs, called as 'one time settlement'. The respondent No. 3 falling within the clause 1(C) of the Schedule appended to the scheme, applied for settlement on 15.12.2006 by depositing a sum of Rs. 7.50 lacs with the Bihar State Financial Corporation. Subsequently, the Corporation came with the modified 'one time settlement 2006' which was circulated on 27.12.2006 and under that scheme the petitioner applied on 31.1.2007 for settlement of the assets under Plan A and deposited a sum of Rs. 30 lacs on 2.2.2007. Thereupon, Managing Director of the Corporation passed the settlement order on 10.5.2007 whereby the petitioner was required to deposit a sum of Rs. 45,22,529/- as against the total settlement amount of Rs. 82,72,557/- which the petitioner deposited with the Corporation. Thus, it has been pleaded that the petitioner is not entitled to any relief.
(3.) It has been pleaded on behalf of the Corporation that after the unit was settled to respondent No. 3, it was informed to the petitioner, vide letter dated 25.9.2007 and, thereby the petitioner was asked to take back Rs.1 lac which had been deposited by the petitioner as earnest money.;