MEDICHEM INDUSTRIES Vs. BANK OF BARODA

JUDGEMENT

(1.) THE respondent applicant Bank filed application against the appellant defendants for recovery of Rs. 14,87,962.14 p. with costs, current and future interest. THE defendants appellant filed the written statement resisting the claim of the appellant. THE matter was heard by the Presiding Officer, DRT, Bangalore, and he allowed the application and ordered for issue of Recovery Certificate as prayed for in the application. Aggrieved against that order the appellant has preferred this appeal. THE main objection raised by the appellant is that the Bank has seized the goods and machineries of the appellant and is keeping it under its custody without selling it and without adjusting the sale proceeds of the seized goods the present suit is not maintainable. Counsel for the appellant submits that the plaintiff Bank cannot recover the amount by keeping the pledged goods in its custody without selling it and appropriating it towards the suit claim. He further submitted that the suit is also barred by limitation.