1. This petition, under Article 227 of the Constitution of India, is directed against the judgment and order dated 7.6.2000 in Revision Application No. 114 of 2000 passed by the Divisional Joint Registrar, Co-operative Societies (Appeals and Revisions), Mumbai Division, Mumbai, (Revisional Authority), whereby the order issuing recovery certificate by Respondent No.3 in Application No. 892 of 1998, dated 1.2.2000 under Section 101 of the Maharashtra Co-operative Societies Act, 1960 ("the M.C.S. Act" for short) came to be set aside.

THE FACTUAL MATRIX:

2. The factual matrix reveal that the Petitioner is a Co-operative Bank. Respondent No.1 is a principle borrower. Respondent Nos. 2 and 3 are the guarantors. All of them are the shareholders of the petitioner-bank.

3. On being applied by Respondent No.1-principle borrower, petitioner-bank sanctioned loan in the sum of Rs.25,50,000/-, on furnishing surety and guarantee of Respondent Nos. 2 and 3. Respondent No.1 executed necessary loan documents to avail the said financial facility with interest thereon @ 21% per annum. Respondent Nos. 2 and 3- guarantors have also executed a guarantee deed/bond and guaranteed thereunder repayme