(1.) The petitioners are engaged in the business of developing properties. The second petitioner is a Director of the first petitioner (hereafter the company) incorporated under the Companies Act, 1956.

(2.) On or about 31.8.1993, the company had acquired an immovable property at 42/C, Ballygunge Circular Road Kolkata 700019 (hereafter the said property) by and/or under a registered deed of lease from one Bengal Bihar Construction Private Limited (in liquidation). On 28.2.1997, the company created mortgage in favour of the respondent (hereafter the Bank) over and in respect of the said property by depositing the lease deed in original in lieu of grant of a credit facility viz. "Inland Letter of Credit" in terms of an arrangement entered into by and between them on 26.2.1997.

(3.) Apart from the above mortgage, the Bank had obtained hypothecation of raw materials, goods and stocks under a deed of hypothecation dated 28.2.1997 from the petitioners.

(4.) Alleging default on the part of the company to repay its debts/dues, the Bank had initiated legal proceedings against the company as well as its guarantors before the Calcutta Debts Recovery Tribunal No. 1 by filing an ap