ANOOP V. MOHTA, J.

Rule. Rule made returnable forthwith.

Heard finally, by consent of the parties.

2. The Petitioners, by this Writ Petition filed on 8 May 2016, have challenged the stated action of Respondent No.3, not considering the Application for One Time Settlement Scheme (OTS Scheme), under the Reserve Bank of India Guidelines (RBI Guidelines). The prayer is also made for appropriate orders and to issue direction to consider the Application for OTS scheme.

3. The background history of the issues so raised in the matter, is as under:

The Petitioners are running the Hospital. Respondent No.4 is a bank, registered under the Banking Regulation Act and runs under the RBI guidelines. The Petitioners obtain a home loan of Rs.34,00,000/- in the year 2002 and another loan of Rs.6,80,000/- in the year 2003 from Respondent No.4. The Petitioners by 78 EMI of Rs.49,273/- per EMI, paid total amount of Rs.40,00,000/-. But due to some difficulties the Petitioners unable to repay some EMIs within time. On 15 December 2007, Respondent No.4Bank issued two notices under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, (for short, “the SARFAESI Act”) for amounts of Rs.6,53,191.68 and Rs.41,86,231.12/-. The Petitioners send reply and raised objection to the Bank notice. Respondent No.4Bank not replied to the objections.

4. In the year 2009, Respondent No.4 transferred loan account to Respondent No.3. On 19 June 2009, Respondent No.3 issued notices under Section 13(2) of the SARFAESI Act, for two account amounting to Rs.54,89,782.12/- and Rs.8,49,550.37/-. On 8 June 2011, Respondent No.3 issued notice under Section 13(4) of the SARFAESI Act and denied the Petitioners' request of OTS Application. The Petitioners trying to settle the loan accounts by way of OTS, but no proper response received from Respondent No.3. Respondent No.3 rejected the proposal. On 16 November 2013, Respondent No.1Collector passed final order under Section 14 of the SARFAESI Act whereby, directed to execute the order within one month. The Petitioners again tried to settle the loan accounts as per the RBI Guidelines under OTS Scheme, but in vein. On 5 May 2016, Respondent No.5 send the notice of possession at the instance of Respondent No.3 stating to hand over the possession by 19 May 2016. Hence the present Writ Petition.

5. By impugned communication, Respondent No. 3 has already rejected the proposal so submitted by the Petitioners in the year 2011 itself. The Petitioners, inspite of the rejection of the proposal, filed applications after applications for reconsideration. That resulted into delay in taking further steps/measures as required under Section 13 of the SARFAESI Act. The basic notice issued under Section 13(2) of the SARFAESI Act was of dated 11 February 2008. Respondent No.3, having once rejected the Applications, required to proceed as per the scheme and object of the SARFAESI Act, without further delay. However, because of various Applications, further measures are delayed. The submission that Respondent No.3 needs to consider the OTS Scheme, based upon the Apex Court Judgment in Sardar Associates & Ors. Vs. Punjab & Sind Bank & Ors. (2009) 8 SCC 257, in our view, is of no assistance. The power of RBI to frame such guidelines has been recognized and accepted by the Supreme Court by taking note of provisions of law, including the SARFAESI Act and the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (for short, “the RDDBFI Act”). This Judgment, in any way, cannot be utilized by the Petitioners for any direction to be issued to the Bank and/or against the Bank for considering the Applications filed again and again, as already rejected so recorded above. It is settled that ultimately, the Financial Institutions/Banks required to consider the facts and circumstances while applying the RBI Guidelines. There is no scope and/or power of the Court which can be invoked