Important Point: No Writ petitions filed at the premature stage or before the cause of action has arisen.

V.M. Kanade, J.

1. Heard learned counsel for the parties.

2. Rule. Rule made returnable forthwith and with the consent of learned counsel for the parties, these petitions are taken for final disposal at this stage.

3. Both these petitions can be disposed of finally by a common judgment since arising out of a common cause.

4. A short but interesting question has been raised by the learned counsel appearing on behalf of the petitioners in both these petitions, viz.,

Whether for noncompliance of provisions of subsection (3A) of Section 13 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, a writ petition under Article 226 of the Constitution of India is maintainable ?

5. The petitioners in both these petitions are the borrowers. In one petition, the company has filed the petition and in the other matter, the directors have filed the petition. It is not in dispute that there were two accounts; one was for cash credit facility and second was for term loan facility. On account of default committed by the petitioners in even paying the interest for more than 90 days on the principal amount, the respondent bank issued two separate notices u/s 13(2) of the Act on 28.7.2016 in respect of the said two accounts. The petitioners raised an objection on 3.10.2016 u/s 13(3A) of the Act. In the said objection, what they have mentioned was that the said notice was not maintainable since the account had not become a nonperforming asset on the date of issuance of the said notice. Secondly, it was contended that they had regularly maintained the said cash credit account and, therefore, it has not become a nonperforming asset. Thirdly, it was mentioned in the said objections that it is not mentioned in the notice as to on which date the petitioners' accounts have become a nonperforming asset. It was contended, therefore, that no cause of action had arisen to take recourse to the said provision. It was then contended that the interest charged by the bank is not in accordance with the agreed rate of interest as well as guidelines issued by the Reserve Bank of India from time to time. It is contended that penal interest was charged and the account has become nonfunctional and due to business loss, the said account could not be properly maintained. It was then contended that the property, which was stated to be a "secured debt" was in fact a personal property of the directors. The petitioners, therefore, requested that the said notice may be withdrawn by the bank.

6. A detailed common reply was given by the respondent bank to both the objections, which were raised by the petitioners. In the said reply, it was stated that the petitioners had not repaid the interest within 90 days in the Cash Credit Account No.163 from the date 31.3.2016 and, therefore, as per the Reserve Bank of India guidelines, it had to be treated as nonperforming asset. Secondly, it was stated that due to group consideration, term loan sanctioned to the directors in their personal capacity also had become nonperforming asset. It is further stated that interest and other charges debited to the account are as per the agreed terms and the contention of the petitioners, therefore, was not acceptable.

7. A preliminary objection is raised by the learned counsel appearing on behalf of the respondent bank regarding maintainability of the writ petition under Article 226 of the Constitution of India. He submitted that in view of judgment of the Apex Court in the case of United Bank of India v. Satyawati Tondon & others (2010 (6) Mh.L.J. 721), these writ petitions are not maintainable since they have been filed at the premature stage and no cause of action has arisen for the petitioners to file these petitions.

8. Learned counsel for the petitioners vehemently urged that the said submission on behalf of the respondent bank is without any substance. He submitted that in view of proviso to subsection (3A) of Section 13 of the Act, the pe