Valmiki J. Mehta, J.

1. These writ petitions have been filed by the two secured creditors who had given foreign currency loan (FCL) to the sick company M/s. Bihar Sponge & Iron Ltd. (BSIL) impugning the order dated 21.6.2007 passed by the Appellate Authority for Industrial and Financial Reconstruction (AAIFR) which upheld the order dated 29.7.2004 passed by the Board for Industrial and Financial Reconstruction (BIFR). Since the issues involved in both the cases are same, both the writ petitions are being disposed of by this common judgment.

2. BSIL became a sick company though it had achieved 100% production because of the devaluation of rupee against the Deutsche Mark (DM) whereby the company's liability rose from Rs. 28.6 crores to Rs. 73.67 crores. On 19.12.1996, BSIL was declared a sick industrial company and IFCI was appointed as an Operating Agency(OA) to formulate the scheme for revival of the company. After various proposals were discussed including circulation of an earlier Draft Rehabilitation Scheme (DRS), ultimately an amended DRS was circulated at the joint meeting of the creditors held on 15.2.2002. This DRS was accepted by a number of creditors but was opposed