UNION BANK OF INDIA Vs. GARDEN CERAMICS PVT LTD

JUDGEMENT

(1.) APPELLANT-Union Bank of India (hereinafter referred to as 'the appellant-Bank') filed O.A. 371/98 against 6 defendants who are respondent Nos. 1 to 6 herein (hereinafter referred to as 'the defendant Nos. 1 to 6') for the recovery of Rs. 88,56,535.16 with interest thereon @ 17.34% per annum with quarterly rest's from the date of O.A. till the recovery of the amount. The learned Presiding Officer of the Debts Recovery Tribunal, Jaipur (hereinafter referred to as 'the DRT') by his final order dated 26th July, 2001 ordered that the appellant-Bank is entitled to recover this amount from defendant Nos. 1,4, 5 and 6 with interest @ 6% per annum from the date of filing the O.A. He held that defendant Nos. 2 and 3 are not responsible for this amount. Aggrieved, the appellant-Bank has approached this Tribunal with this appeal with a prayer for directing all the defendant Nos. 1 to 6 to pay the amount with interest @ 17.34% per annum with quarterly rests from the date of O.A. till realisation. The defendant Nos. 1 to 6 did not file any reply to this appeal. The learned Counsel for the defendant Nos. 2 and 3 stated that he will address arguments opposing the appeal.

(2.) I have heard the Counsel for both the sides, and perused the records.

(3.) THAT is why O.A. 371/98 was filed before the DRT. The defendants 2 and 3 filed written statement to the O.A. urging as follows: